CS REF Green Property plans capital increase
The real estate fund Credit Suisse Real Estate Fund Green Property (CS REF Green Property) intends to carry out a capital increase of up to CHF 173 million between October 31 and November 11, 2016.
Based on the appraisal of the fund's properties for the audited semi-annual financial statements, as well as changes in value from ongoing construction projects and renovations, and the additions and sales of properties since closing, the new net asset value as of November 18, 2016, is CHF 109.56 per unit, Credit Suisse Real Estate Investment Management announced. The issue price of the new units will be CHF 112 net.
According to the information provided, the issue will be carried out on a commission basis ("best-effort basis") as part of a public rights offering in Switzerland. One subscription right will be allocated to each existing share. Ten subscription rights entitle the holder to subscribe to one new share. An official subscription rights trade will take place on the SIX Swiss Exchange AG from October 31 to November 9, 2016. Units that are not subscribed for may not be issued, which may result in a change in the issue amount. The effective number of new shares to be issued is to be announced on November 16, 2016. The proceeds from the issue will be used for the further growth of the real estate portfolio.
The CS REF Green Property was merged with Credit Suisse Real Estate Fund PropertyPlus as of July 1, 2016 and has a diversified portfolio of sustainable real estate. In addition to 42 existing properties, two construction projects worth approximately CHF 133 million are currently being realized. In the "Gleis 0" construction project in Aarau, 91 apartments, 285 parking spaces and various shopping and commercial areas will be built by summer 2018, which will be rented and operated by the Migros Aare cooperative.
On the Altstattwiese in the center of Wil (SG), a sustainably designed development with 73 apartments is currently under construction. Since the beginning of October 2016, the recently completed office property on Riehenring in Erlenmattquartier, Basel has also been part of the CS REF Green Property portfolio. The property, in the immediate vicinity of Messe Basel, is leased on a long-term basis to the fashion accessories and lifestyle company Fossil, which has moved into its new European headquarters there. (ah)
