Chapter IV: Collective investments

A société de placement à prépondérance immobilière à capital variable (open-ended real estate investment company with predominantly variable capital) is a société anonyme (public limited company) or a société par actions simplifiée (simplified joint stock company) with variable capital in the form of a société par actions simplifiée (simplified joint stock company), other than a société par actions simplifiée (simplified joint stock company) set up by a single person and…

As an exception to the first paragraph of Article L. 225-51-1, the first paragraph of Article L. 225-53 and the third paragraph of Article L. 225-59 of the Commercial Code, the functions of Managing Director, Deputy Managing Director, Chairman of the Management Board or Sole Managing Director are performed by the management company. The management company appoints a permanent representative who is subject to the same conditions and obligations and…

The société de placement à prépondérance immobilière à capital variable (open-ended real estate investment company with predominantly variable capital) and the management company are liable, each individually or jointly and severally as the case may be, to third parties or shareholders, either for breaches of the legislative or regulatory provisions applicable to open-ended real estate investment companies with predominantly variable capital, or for breaches of the company’s articles of association,…

The provisions of 3° to 9° and 11° of article L. 214-24-31 and article L. 214-24-47 apply under the same conditions to sociétés de placement à prépondérance immobilière à capital variable.

A société de placement à prépondérance immobilière à capital variable may be formed by cash contributions, contributions in kind of real estate assets mentioned in article L. 214-36, mergers or demergers. It may also be formed through mergers, demergers or conversions of non-trading property investment companies. Contributions in kind may be made to a société de placement à prépondérance immobilière à capital variable after its incorporation, in particular in the…

Articles L. 224-1, L. 224-2, the second paragraph of article L. 225-2, articles L. 225-3 to L. 225-16, L. 225-25, L. 225-26, L. 225-258 to L. 225-270, the fourth paragraph of article L. 227-1, articles L. 227-13 to L. 227-16, L. 227-18, L. 231-1 to L. 231-8, L. 233-8 and L. 441-14 of the French Commercial Code do not apply to sociétés de placement à prépondérance immobilière à capital variable….

The Board of Directors or the Management Board may temporarily suspend the repurchase by the company of its shares, when exceptional circumstances so require and if the interests of all shareholders so dictate, in accordance with the conditions set out in the general regulations of the Autorité des marchés financiers. The general regulations of the Autorité des marchés financiers shall determine the cases in which, and the conditions under which,…

At least thirty days before the General Meeting called to approve them, a société de placement à prépondérance immobilière à capital variable shall publish its profit and loss account and balance sheet. It need not publish them again after the General Meeting unless the latter has amended them.

I. – The sums distributable by a société de placement à prépondérance immobilière à capital variable in respect of a financial year are made up of : 1° Distributable income relating to income earned by the company, which is equal to the net income referred to in article L. 214-51, plus retained earnings, plus or minus the balance of accruals and deferrals defined by decree; 2° Capital gains realised on…

Notwithstanding the provisions of the French Commercial Code, the terms of liquidation and the distribution of assets are determined by the company’s Articles of Association. The management company acts as liquidator, under the supervision of the custodian. Failing this, the liquidator shall be appointed by the courts, at the request of any shareholder, from among the approved portfolio management companies.