JER to sell stake in Belgian developer

US firm exits the majority of its investment in Belgium's Immobel, which it first made in June 2007

JER Partners, the US private equity real estate firm is to sell most of its stake in Belgian developer, Immobel.

The McLean, Virginia-based firm has agreed to sell 25 percent of the 30.5 percent holding it acquired just over three years ago for its third European fund, JER Europe Fund III.

In an announcement today, JER said it had entered into a binding agreement to sell the stake to Eastbridge Sarl, a privately held company based in Luxembourg managing €1.2 billion of real estate and other assets in Central and Eastern Europe and the US. 

In addition to the sale of 25 percent, JER has agreed a put and call option on a further 4.85 percent exercisable over the next three years.

Chester Barnes, head of JER Europe, said in the statement that the firm had participated in the development of Immobel over the past three years. 

“As a sign of our confidence in the future of Immobel, we have retained a significant portion of our investment in the company for the next three years in order to share in the further anticipated growth of Immobel,” he added.