Germany’s €62bn Bayerische Versorgungskammer (BVK) has for the first time issued a company loan without the help of a consortium.

The BVK loaned €150m to Gewofag, a housing association owned by the city of Munich.

A spokesman for the pension fund confirmed to IPE Real Estate that the facility was granted not for any particular project but as a general loan.

“Some of it will be used to refurbish properties in Gewofag’s portfolio and to purchase new assets,” he said.

Gewofag is Munich’s largest landlord, owning approximately 35,000 flats.

Until now, the BVK had only ever issued company loans as part of a consortium, mainly with banks.

“This time, a consortium was not necessary,” its spokesman said. 

In April, for example, the BVK issued a loan, together with DekaBank, to local public utility company Münchner Stadtwerke.

But its spokesman stressed that this was not because the BVK had been unhappy with previous arrangements with consortia.

“In future, we can issue even larger loans without a consortium or with others,” he said.

He added that this type of company loan could be applied to other industries but declined to specify any projects.

In a statement, the BVK said it would further increase its real estate and infrastructure lending business in the coming years.

Its spokesman also confirmed that the BVK, which has to invest around €4m annually in contributions and investment returns, seeks to grow other areas of real estate.

“We will increase the share of indirect real estate holdings on a global basis,” he said.

However, he said he could not name any specific projects or investment plans at present.

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