Scandinavian asset manager CapMan Real Estate has signed an agreement with Bayerische Versorgungskammer (BVK), Germany's largest pension scheme group, to invest up to €400 mln in residential real estate in the Nordics on behalf of the institutional investor.
'In the past few years, we have grown to become a leading Nordic real estate investor. The mandate from BVK enables us to combine our local know-how and real estate expertise with our ability to serve international clients,' commented Heikki Westerlund, CapMan's CEO.
Under its broad mandate, CapMan will source, advise on and execute transactions as well as manage the assets on behalf of BVK in Sweden, Denmark, Finland and Norway. CapMan Real Estate has already advised BVK on the acquisition of a €80 mln prime residential portfolio in Finland in April 2016 in relation to the now formed investment mandate.
'The largest Nordic cities are experiencing significant population growth, and the residential sector offers reliable income with upside potential. We anticipate increasing demand from international investors attracted to the strong economies and the stability of the region,' added Nigel Pedroz, partner of CapMan Real Estate.
CapMan will receive an annual advisory fee and a performance fee on the mandate based on standard industry practice.
Earlier this year BVK also awarded US investor Hines a €1.3 bn retail investment mandate focusing on prime high street retail assets across Europe.
