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Macro Location Analysis
Purchase Price/Land Price
Purpose of the loan
EvoEstate Risk rating is of an informative nature only & can not be considered investment advice.
The operation is located 6, rue de l’Abbaye, in the Saint-Germain-des-Prés district in the heart of the 6th arrondissement. It is a residential and relatively well-off neighborhood with many upscale shops and a wide range of cultural activities (theatres, historical monuments, etc.).
The real estate complex concerned by this operation is in a 6-story Haussmann-style freestone building at the corner of Rue de l'Abbaye and Rue de Furstemberg and comprises:
* A shop on the ground floor and basement (192 m²)
* A room in the courtyard used as an office (34 m²)
* A T2 flat on the 1st floor (85 m²).
* A studio flat on the 6th floor (18 m²)
These properties were acquired by FMA, which then revalued the lease with Michel Canovas (€70,000/year in 2008 to €260,000/year in 2019), thereby significantly improving the rental yield of the business and therefore its value.
The proposed refinancing corresponds to the advance on the margin that will be generated following the resale of these properties. Another exit option being considered is bank refinancing.
The shop is leased to Manuel Canovas Paris, a publisher of high-end upholstery fabrics founded in 1963. This textile company was acquired in 1998 by the Colefax and Flower Group. This English group is listed and has a market capitalization of 29.1 MGBP at 30/04/2020:
The Manuel Canovas brand is distributed in many fabric shops in Paris such as the BHV, but the shop located at 6, rue de l'Abbaye is his only own shop in the city.
Our valuation of properties is based on market prices.
A valuation was carried out by Cushman & Wakefield in February 2019 with an average price per m² of €27,905. The average price per m² of 20,354 €/m² used for our valuation corresponds to the average prices observed by Meilleurs Agents and Efficity, which is in line with the advertisements published in the area, which show an average price of 20,247 €/m²
Examples of operations:
2 200 000
1 299 000
1 390 000
An average rate of return of 4.22% was observed according to the Cushman & Wakefield Report:
Examples of operations:
A valuation was carried out by Cushman & Wakefield in February 2019 with an average price per m² of €31,979. The average price per m² of 29,200 €/m² used for our valuation corresponds to the average of different valuation methods.
*Discounts are applied in the first few years of Canovas' rent which have been deducted for this valuation.
The transaction is being carried out by SAS FMA Renouard Larivière, with a capital of 76,700 euros, registered with the Paris Trade and Companies Registry under number 571 226 371 on 17/12/1967. It will carry the bond issue and is 51% owned by Jean-Marc Israël.
The bond issue will be issued by SAS FMA Renouard Larivière at an annual rate of 10% per annum for a period of 24 months.
In order to provide additional guarantees, the repayment of the bond issue is guaranteed by:
* Personal guarantee by Jean-Marc Israël
* First Demand Guarantee from SARL Financière Raspail with two assets in the 7th arrondissement (rue Vaneau and rue Monsieur Le Prince) for an estimated net value of €6.9 million.
The bond contract provides for early repayment if:
* Sale of the property complex at 6, rue de l'Abbaye
All the documents associated with this fundraising are available in the "documentation" tab.
Jean-Marc Israël, 44 years old, French:
Jean-Marc Israël is a real estate professional, he started in 1997 as head of block sales for the Foncia Group, he then worked as director of block sales and intentional relations for the GEMCO Group. In 2002, he created the company 3i participations which became 3iCapital in 2007. The purpose of this company is to carry out transactions in high value-added residential and tertiary real estate assets (in partnership with wealthy French families).
Its real estate assets are estimated at around €33 million through its various companies.
Company owned by Thibault Vidalenc, heir to the Bertrand Group.
Financial elements from the company issuing the loan
Balance sheet SAS FMA Renouard Larivière
Income statement SAS FMA Renouard Larivière
Financial elements from the company holding the First Demand Guarantee
Balance sheet SARL Financière Raspail
Income statement SARL Financière Raspail
Owned assets detail