Denmark’s largest commercial pensions provider PFA is investing in senior housing real estate in Belgium via La Française Real Estate Managers (REM).
La Française REM, investing on behalf of a separate account mandate granted by PFA, has signed a forward purchase agreement for its first senior housing unit at 457 Baron Ruzettelaan in Bruges.
The acquisition covers the development of a senior housing unit of 5,000sqm, spread over 4 floors and includes many terraces.
The asset, which is expected to be completed in the second quarter of 2023, is pre-let to the Groupe Réside Etudes under a fixed fifteen-year forward lease.
Back in February, PFA awarded a second mandate to La Française REM to initially acquire €300m worth of properties in Europe.
The DKK730bn (€98.2bn) Copenhagen-based pension fund gave La Française REM €200m to invest in seniors housing complexes and awarded the manager €100m to target private rental sector properties in France and Belgium.
The mandate expanded the relationship between PFA and La Française REM which started in late 2019 when the pension fund awarded an initial mandate for the acquisition and management of a French senior housing portfolio.
David Rendall, managing director of La Française Real Estate Managers - institutional division, said La Française has positioned itself as a major player in the senior housing sector with more than €500m under management on behalf of third parties.
“Extending our reach to the Belgian market is a turning point in the development of this expertise and a first step in building a pan-European portfolio on behalf of PFA.
”The quality of the operator, Groupe Réside Etudes, as well as the demographics of the Bruges region, are factors supporting the valuation of this future senior housing unit.”
La Française REM was advised by Loyens & Loef on the legal and tax aspects.
To read the latest edition of the latest IPE Real Assets magazine click here.
