Round Hill Capital’s European multifamily fund has invested €52.3m in the Netherlands to buy its first assets.
The core and core-plus European Residential Income Fund II (ERIF II) fund – which had its €200m first close in September 2020 – has bought three multifamily assets in Diemen, Leiden and The Hague.
ERIF II has bought a 54 unit, 5,113sqm residential property in Diemen for €23.4m from undisclosed private investors, paid another €14.7m to buy the Leaves-complex on Kralendijkkade in Leiden from private investors and invested €14.2m to buy the Leyster in The Hague from an institutional investor.
Michael Bickford, founder and CEO of Round Hill Capital said: “We launched ERIF II to offer investors the opportunity to secure strong returns from residential real estate, backed by our deep understanding of European markets and exceptional operational expertise.
“In 2021 and over the long term, we believe responsibly managed residential real estate will continue to prove itself as a highly resilient and defensive investment. The current economic conditions have tested many asset classes, yet accommodation continues to provide consistently stable income streams at a time when yield is under intense pressure.”
Bickford said the fund has a strong investment pipeline and expects to deploy additional capital in the near future.
Sander Van den Heuvel, Round Hill Capital’s managing director in the Netherlands, said: “These three acquisitions underline the strength of European multifamily investment activity with the Dutch market driven by the desire to achieve sustainable, affordable urbanisation across its major cities.
“Once again, our long-term involvement in the Dutch market and local expertise allows us to identify compelling opportunities in order to generate risk-adjusted returns at a time when quality affordable housing supply is limited.”
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