Coffee-shop giant Starbucks Corp. (SBUX) is taking full control of its French operations after five years in France and plans to take advantage of real estate opportunities to aggressively expand its network of coffee house chains there, the group's head of international operations Martin Coles said Tuesday in an interview.

"We're talking about an economy, a population base and GDP (gross domestic product) growth every bit as good as a market like the UK," where the U.S.-based company operates around 750 stores, Coles said.

"I think the right thing to do is own (our operations) outright in France," as the company does in Germany, the U.K. and Ireland, he added.

Starbucks earlier Tuesday announced plans to swap shares with its joint-venture partner Spain-based Grupo Vips, who along with Starbucks operates in Spain, Portugal and France. The two companies currently operate Starbucks chains in France, Spain and Portugal under a 50-50 joint venture.

Under the terms of the new agreement, scheduled for implementation at the end of the month, Starbucks will take full control of the French business, which currently counts 50 coffee houses, mostly in Paris. Grupo Vips will operate Starbucks chains in Spain and Portugal under franchise agreements.

"It's time to bring more focus for each of us to the individual pieces of the market, where each is far bigger in potential than" existing business, Coles said.

Starbucks coffee shops are run by franchise partners in the Middle East, the Philippines and Peru.

While the company has moved cautiously in the past 18 months as far as expanding its coffee houses, now "there is a tremendous opportunity because of the availability of real estate, the quality of real estate for us to continue an aggressive expansion path," in France, Coles added.

He declined to give further details on the company's planned expansion rate. Starbucks executives were aware they were introducing a new style of coffee shop to the country when they entered France in 2004.

"I think we were worried initially about whether there would be acceptance," of the chain in the country, Coles said, adding that such worries proved to be unfounded.

Starbucks Managing Director of France Philippe Sanchez said coffee consumption habits are still evolving in the country.

When Starbucks first set up shop on the Avenue de l'Opera, which links the Louvre to the Paris Opera house, 20% of drinks sales were for take-away consumption. Now that figure has swelled to 70%, Sanchez said. The chain's spacious armchairs and cheerful staff are part of its appeal, he noted.

"Sixty percent of our customers are women, young professionals who relate in France to the same value as customers you find in Seattle, Tokyo, London or Germany," according to Sanchez.

The Starbucks executives said they're cautiously optimistic about coffee consumption trends globally.

"We are seeing in many markets around the world that consumer confidence is coming back from the floor that it hit six months ago," Coles said.

That, however, was not a factor in the company's decision to take over its French operations, although "it appears that there's been a softer landing in France," Coles said.

Company Web site: www.starbucks.com

By Mimosa Spencer, Dow Jones Newswires; +33 1 40 17 17 73; mimosa.spencer@dowjones.com