Empira launches special residential real estate fund
Investment manager Empira AG (Zug) has launched a special residential real estate fund for institutional investors. The fund invests in core and core-plus properties in Germany.
The new product with an unlimited term focuses on defined A and B cities in the large neighboring canton. According to the Zug-based company, these also include capitals of the German states as well as university towns. For the fund with its core and core-plus strategy, a "high-quality seed portfolio with a volume of approximately 120 million euros has already been purchased," according to Empira CEO and Chairman Lahcen Knapp.
The target volume of the new special residential real estate fund is 500 million euros GAV, with leverage limited to a maximum of 50 percent, Knapp said. "With the Empira Residential Fonds Germany, we are offering our investors an extremely interesting investment option with a moderate risk profile, characterized by stable cash flow and corresponding liquidity returns."
In the DACH region in particular, the fluctuations in the performance of residential portfolios have been much smaller than those of other types of use over the last few market cycles, according to Empira. "With the targeted analysis of regional factors as well as dedicated knowledge of local markets, we ensure the identification of suitable investment properties," the investment manager assures.
