The Fund

Stable and secure housing is the primary platform for people to connect to economic and social life as well as for their health and well-being. This basic need is irreplaceable and currently challenged by the prevailing economic and ecological environment.

The European residential market in these days is characterized by an imbalance between supply and demand mainly fueled by household-growth, urbanization and population-growth. As a result, affordability of rents and living is becoming a major problem especially for the young generation and the low-to middle-income population.

Another major problem is the threat that climate change poses on human society, ecosystems and economy. One of the biggest contributors to global warming responsible for approx. 40% of all global carbon emissions is the real estate and construction industry.

The fund is addressing these problems by following a clearly defined investment strategy based on these pillars:

• Alignment with the 1.5 degrees target of the Intergovernmental Panel on Climate Change (IPCC) and therefore aiming for net zero Co2 Emissions by 2050
• Focus on energy-efficient buildings and cutting Co2 emissions by obtaining energy from renewable energy sources
• Using limited resources in a sustainable manner while minimizing impacts on the environment by e.g. using water saving fitting, installation of smart meters, use of energy-saving lights etc.
• Implementing sustainability strategies and thus conclusion of green leases and setting-up communication platforms in order to engaging the tenants, service providers etc. in the battle against climate change
• Creating affordable housing for the low- to middle-income population and enhancing user comfort and well-being of the tenants
• The ESG-approach is deeply incorporated into our real estate management strategies and throughout the life cycle of our properties.

In this way, the Fund will invest a proportion of at least 90% of the portfolio in sustainable and a minimum stake of 15% in EU-Taxonomy aligned investments. Alongside the ecological and social benefits the fund will create sustainable, long-term and secure returns for its investors.