Aventicum Raises €300 Million for Second Pan-European Value-Add Fund
SEPTEMBER 2021
Aventicum Real Estate (“Aventicum”) has successfully closed the fundraising of Aventicum Real Estate Partners Europe II (the “Fund”).
The Fund held its final closing on February 12, 2021, with total equity commitments of approximately €300 ($364) million. The Fund seeks to generate attractive risk-adjusted “value-add+” returns utilising targeted gearing of up to 65% loan to value by acquiring undermanaged properties at compelling and defensive entry values in desirable locations that will benefit from proactive asset management. The Fund also selectively (re)develops real estate to meet unsatisfied occupier demand at a basis that it expects to translate into superior yields on investment. Recent sector focus includes multifamily, for-sale residential and student housing, and on a more selective basis, hospitality, which Aventicum believe are likely to provide the best prospects of growth post-COVID-19.
Christophe Tanghe, Senior Principal of Aventicum Real Estate, comments “COVID-19 has profoundly changed occupier behaviour and demand across all real estate asset classes. We continue to focus on the European housing markets where new supply has been insufficient to meet increased demand from continued urbanisation, causing substantial growth in rental and vacant-possession values and resilience through economic cycles.”
The Fund has attracted capital from existing investors, top-tier, institutional investor relationships and family offices across the globe. As of August 31, 2021, the Fund has made three investments in Spain, the UK and Italy committing €127.7 million of equity.
In March 2021, the Fund committed €70.6 million of capital to acquire eight student residences at a total cost of £138.2 million, subject to term income guarantees and support provided by the vendor through the end of the academic year 2022. The residences comprise 2,281 beds located at or close to campuses in regional university cities with growing student populations, providing affordable accommodation predominantly to domestic students. The Fund will enhance the common and private areas of the residences at a further cost of £21.0 million, whilst growing rental rates and implementing operating efficiencies to improve the operating performance and investment value of the residences.
Accord Europe Limited served as the exclusive capital advisor in connection with this offering.
ABOUT AVENTICUM REAL ESTATE
Aventicum Real Estate is a real estate investment management platform, affiliated with Credit Suisse and the Qatar Investment Authority, that provides real estate investment solutions in Europe to high-net-worth individuals, family offices and institutional investors, through co-mingled funds, separate accounts, and co-investment opportunities. Aventicum Real Estate operates from offices in Zurich, London and Amsterdam. The senior members of the Aventicum Real Estate team average more than 30 years of real estate experience in Europe and have broad industry relationships, offering investors proven capabilities to originate, execute and manage complex real estate investments across property types, geographies and investment strategies.
ABOUT ACCORD EUROPE LIMITED
Accord Group Holdings LLC (“Accord”), through its affiliates, is a global capital advisor and principal investor. With its headquarters in San Francisco and personnel in Chicago, London and Seoul, Accord engages with a wide variety of participants in the real estate private equity industry. Accord Europe Limited, its broker/dealer affiliate, provides advisory and capital raising services in the United Kingdom and Europe. For further information on Accord, visit: www.accord-group.net.
For Aventicum enquiries, please contact:
Henrietta Dehn, Prosek
+44 (0) 203 440 5406
hdehn@prosek.com
For Accord company enquiries, please contact:
Desi Co, Accord
+1 628 218 7982
dco@accord-group.net
