Patrimonium Investment Foundation grows by over 220 million
The investment assets of the two investment groups of the Patrimonium Investment Foundation increased by CHF 222 million in the 2019 financial year, mainly thanks to acquisitions.
According to Patrimonium Investment Foundation, the investment assets of the Residential Real Estate Switzerland investment group increased by CHF 122 million to CHF 644 million in the 2019 financial year. The investment group acquired portfolio properties in Muttenz (BL), Locarno (TI), Bussigny (VD), St. Aubin (NE) and Sion (VS). In addition, a contribution in kind of three properties in the canton of Bern, new construction projects in Crissier (VD), Basel (BS) and Lugano-Pazzallo (TI), as well as investments in conversion, expansion and reuse projects contributed to growth, the investment foundation said. In December 2019, the investment group acquired co-ownership of the En Chise land parcel in Crissier (VD). The Spinnerei Lorze development projects in Baar (ZG), Birsfelden (BS) and Lausanne-Malley (VD) are reportedly progressing.
As of December 31, 2019, the portfolio consists of 53 existing properties, three new construction projects and one undeveloped property. Residential properties account for 83%, 52% of the properties are located in Western Switzerland and the Lake Geneva region. The investment return for fiscal 2019 is put at 4.85%. More than 100 Swiss pension funds are invested in the investment group, it adds.
Healthcare real estate investment group has made additional purchases
The Swiss healthcare real estate investment group closed four transactions in fiscal 2019. It acquired, among others, the racecourse clinic in Muttenz (BL) and a workshop for the disabled in La-Chaux-de-Fonds (NE); according to the information provided, long leases exist with both facilities. The average remaining term of the indexed leases in the portfolio is over 20 years. In addition, a plot of land was acquired from the municipality of Boudry (NE), where construction of a nursing home with retirement apartments was subsequently started. The En Chise plot in Crissier (VD), which is co-owned, is to be developed over the next few years. Following the complete renovation of the nursing home in Wabern-Köniz (BE), the property was reopened in October 2019.
According to the Patrimonium Investment Foundation, the investment group's assets increased by around 100 million to around 300 million in the past financial year. The number of investors increased to over 50. The investment return for the past year is put at 6.81%. The next capital call for the investment group is scheduled for June 2020.
Impact of the Corona pandemic
The direct and indirect effects of the Covid 19 pandemic on the two investment groups cannot yet be assessed conclusively, the Patrimonium Investment Foundation reports. The duration of the reduced economic activity could have a significant impact. The market for residential use is considered to be comparatively stable, and overall demand is expected to remain solid, particularly in the lower and medium rental price segments. Current leasing activities are lively. In the market for healthcare properties, the increased need for security could have a positive impact in the medium term. In the short term, depending on the type of offer, a lower occupancy rate is to be recorded, which should be compensated for over the coming months, the statement continues.
In the case of commercial space in mixed-use or commercial properties in the portfolio, rent deferrals could occur, and delays in construction projects could not be ruled out. Apart from the canton of Ticino, construction sites would continue, as would the planning of development projects. (ah)
