French Minister of the Economy and Finance Bruno Lemaire has requested real estate funds, specifically the SCPI (“Société Civile de Placement Financier“) and the French Grand Public REIT (OPCI “grand public”, Organisme de Placement Collectif en Immobilier), to suspend building rents of very-small-SME with less than ten employees if the containment has prohibited their business activities.
Based on the fact that “The management companies must act honestly, faithfully and professionally in the best interest of the investors (French Doctrine)“, the AMF considers this measure in the interest of the SCPI and OPCI’s uniholders provided that this suspension is limited to the rents (only) during a maximum three-month period.
We will keep you informed if this measure is approved.
AMF letter: https://www.amf-france.org/sites/default/files/2020-05/2020_04_17-courrier-a-m.-pinon-et-m.-bol_0.pdf