Social Housing Developer Groupe UNITI Receives Funding from the American Real Estate Investor PGIM Real Estate

Social Housing Developer Groupe UNITI Receives Funding from the American Real Estate Investor PGIM Real Estate

The French social housing developer, Groupe UNITI, received funding from one of the global leaders in real estate investments, PGIM Real Estate. The two companies started a development partnership to deliver over €200 M worth of new homes. The partners will try to overcome the critical shortage of social housing across France – over two million households awaiting affordable accommodation and delivery amounting to only 100,000 new homes every year.

The partnership will take the form of two interlinked operations. First, PGIM Real Estate and UNITI will create a development joint-venture named UNITI Croissance which will be focused on social, intermediate and affordable senior housing. Second, PGIM Real Estate will take a 35% equity stake in Groupe UNITI to support its growth into one of the leading providers of subsidised housing across France. Financial advisor to Groupe UNITI in the deal was SORTIS’s partner in the Globalscope M&A advisors network, Atout Capital, a corporate finance and M&A consultancy firm focusing on small and medium-sized French companies.

Groupe UNITI is a developer and provider of social housing based in France. The company specializes in the construction of assisted housing financed by private funds. UNITI provides social housing, student homes and senior residences for both municipalities in terms of social housing and also for house-rental companies. Commenting on the deal Stéphane Oria, CEO of Groupe UNITI stated: “We are proud to welcome a partner like PGIM Real Estate among our shareholders to deliver UNITI Croissance. Beyond financing support, this partnership will allow us to benefit from PGIM Real Estate’s strategic expertise. We are convinced this operation is a major step towards reaching our goal to become one of the leading social housing developers in France.”

PGIM Real Estate is one of the largest global real estate investment management funds headquartered in United States. The company was established in 1970 and today it has combined gross assets under management and administration of $173.5 bn with office locations all over the world. The partnership between UNITI and PGIM Real Estate will be a driver for social cohesion and long-term investment performance.

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