Northwood Investors is taking over French REIT Cegereal.

The US private equity firm has agreed to take a 59.78% stake in the vehicle from Commerz Real鈥檚 HausInvest fund.

The deal is scheduled to close in November, with Cegereal keeping its status as a French REIT, or Soci茅t茅 d鈥橧nvestissement Immobilier Cot茅e (SIIC).

The REIT, listed in 2006, holds a portfolio worth 鈧�961m ($1bn).

Northwood already has office and industrial assets in France, having bought the Defense Plaza building in 2011.

Khaled Kudsi, senior managing director at Northwood, said: 鈥淲e continue to see improving fundamentals across the Parisian office market, and our investment in Cegereal provides Northwood with a critical mass, a difficult to replicate portfolio and a well-regarded management platform that we can, in our capacity as a long-term investor, assist in growing the asset-base over time.鈥�

The company is paying 鈧�35.62 per share for the stake in Cegereal, which has a 鈧�367m market cap.

Rapha毛l Tr茅guier, Cegereal chief executive, said: 鈥淭his tie-up confirms our wish to create a leading prime office property company in France.

鈥淲ith the support of Northwood Investors, we now have an internationally renowned team along with the resources needed to support our future growth.鈥�

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