Banque des Territoires distributes its real estate restoration companies throughout the Pays de la Loire

This is one of the weapons used by the Bank of the Territories to combat the devitalization of rural municipalities and urban centers of medium-sized cities. A solution that can be found where promoters are reluctant to invest and where communities (EPCI, town halls, etc.) lack the financial resources or know-how.

In September 2019, the Metropolis in Vendée was established. Since then, the deployment of “land for restoration” has spread to the Loire-Atlantique and the Maine and Loire. “The founding in Mayenne continues. The variety will be covered at the end of the year or at the beginning of 2023. It is the French region that offers the highest real estate density. “assures Philippe Jusseran, regional director of the Banque des Territoires, is currently a minority shareholder in seven departmental real estate companies (Métropolys in Vendée, Centralités 44 in the Loire-Atlantique, Anjou commerce and centralités in Maine-et-Loire), but also the capital , Le Mans, Saint-Nazaire).

“This is the SAS, which consists of companies with mixed economies, such as SEM Oryon in Vendée, and local investors, which may be the Chamber of Commerce, bank players (Crédit Mutuel, Crédit Agricole, etc.) or Vendée government agencies, which entered the capital in 2020 »he explains.

“SEM is important in this collection. It provides technical teams to instruct operations and ensure project management. “, he said. The Banque des Territoires provides project development, financial engineering, feasibility studies, etc., projects under the Action Cœur de Ville (ACV) and Small Towns of Tomorrow (PVD) programs implemented by the French government for reconstruction. In addition to government loans, these programs allow you to attract participants such as Action Logement, the National Housing Agency (Anah), among others.

Basic engineering works

In the Pays de la Loire, eight territories (ACV) and one hundred and five municipalities (PVD), including twenty-two in Vendée, received an award for taking advantage of these schemes. The Banque des Territoires has already started engineering work for ninety-four Action Cœur de Ville projects, provided nine loans worth € 19.5 million and entered into brokerage agreements with five departments, subsidized the appointment of fifty-eight projects. managers, provided seven loans of € 16.6 million, financed a range of trade-related activities and carried out the first investment operation with Métropolis in Bene (85) to finance the purchase and maintenance of a meat shop in the city.

“It could be surgery. And this is the whole essence of the earth. It can interfere in very small projects worth 200,000 euros … or larger ones worth several million euros. Where investors do not want to gonotes Sebastian Bonne, general manager of SEM Oryon and Metropolys, which is involved in five LCA projects in La Roche-sur-Yon and Fontenay-le-Comte, and PVD in Bene, in the south of the department.

These include rebuilding the business, setting up a startup after removing asbestos from the premises, developing offices, redeveloping a 1,000 m2 commercial space divided into four or five cells, various activities including a neighborhood grocery store, rehabilitating a wasteland free for fifteen years. after the departure of France Telecom, where a store will be opened on the ground floor and a law firm on the second floor. This time the project is worth two million euros. In Fontenay-le-Conte, negotiations are underway again with the owner of the shopping center with twelve obsolete commercial cameras, the regulatory requirements of which require urgent repairs. Negotiations are underway and a dozen more projects are being considered.

Increase investment to balance

“Through its stake, the real estate company has the opportunity to allocate a large share of equity through the current accounts of partners, up to 60% of transactions, and had to turn to bank financing, and hence to debt. As a result, we are able to carry out operations that private operators, investing less equity, would not be able to carry out, remaining in the market rent. As a result, the balance of operations becomes easier “notes Sebastian Bonne.

The principle of the property company is to intervene at the request of the community, buy property, repair it and return it for rent for a reasonable rent. In such diverse fields as trade, housing, transportation, digital technology, healthcare …

Fifty-four projects have been identified in Maine and Loire, where the real estate company is opening. By what criteria will they be selected? “This is an economic model that needs to be found, as well as the importance of research conducted upstream, the business plans we make. We have a reasonable target return on investment. The main thing is that the operation was done. In the eyes of local authorities, the financial package is provided. There are assets that are difficult to make profitable, such as businesses where it is very difficult. The interest of the property company is to be able to consolidate operations. And let us go into a loss-making business, while creating additional, more profitable offices that will allow us to achieve balance. ” – he explains.

Deciding to be a minority shareholder in the capital of real estate companies and preferring funds provided in the current accounts of partners, the Banque des Territoires thus intends to prevent local authorities with the help of Sem to mobilize excess funds while maintaining the project. management.

“The idea of ​​real estate companies is to develop them in stages. The more they develop, the more we will add to the pot. “ – says Philippe Jusseran.

White and safe operation for Benet

The 4,000-strong municipality, located twelve kilometers from Niort and on the edge of the Poitouc marshes, Bene was the first local authority in the Loire to benefit from the intervention of the Metropolis and the Bank of Territories under the PVD program.

“We had a historic butcher who wanted to retire. Despite his title, Meilleur Ouvrier de France, a young butcher who wanted to take a job, managed to finance a business but did not buy the walls of the former PMU bar, opposite the meat factory where he wanted to work. However, for five years this place was fallow.explains Daniel David, Marie from the city.

The investment amounted to 105,000 euros, plus work.

“It was impossible for us to finance it. This ignores the development of other activities. Building this type of file is quite cumbersome. And this is not our job. “ he admits.

“That’s where we came from,” mentions Sebastian Bonne.

“Today the butcher shop is always full! »

The property acquired property, financed works worth about 50,000 euros and implemented an adapted rental process.

“The interest is the speed of implementation and involvement of experts in finance, urban planning, real estate … For us, this is a white and safe operation. And today the butcher’s is always full! », notes the mayor, who twelve years ago decided to donate part of the fair to expand a large area of ​​Bene, wanting to join the road Niort Fontenay-le-Comte and its flow of 10,000 vehicles a day.

“We managed to keep this locomotive in the city. Today, shops, services, and cultural activities are a whole that requires a real strategy, risking the decline of urban centers as demographics develop. We are thinking about real estate programs for sale and rent. It is difficult to provide … to ensure population growth. “he says, completing the construction of the media library, the development of a social center to give birth to a second-hand shop, a DIY library and a bookstore and Microfoil, these platforms with the support of the Ministry of Culture promote art and new technologies.

“To make the village pleasant to live in, we try to go to all fronts. We used to be able to do it naturally with our strategy, but today we see that it is more difficult without outside intervention. “notes the mayor of Bennett, who does not rule out that again knocking on the door of the real estate company.