The Catella European Residential Fund III (CER III) has acquired an 'energy-positive' residential tower in Saint-Étienne, France, marking the first deal in a planned €2 bn investment programme of 100 green apartment blocks.
The property is designed by Elithis, the French engineering and design company that conceived the energy-positive building concept, and Catella's supply-pipeline joint venture partner for this initiative.
The energy-positive assets produce more power than they consume, at cost levels comparable to standard buildings. The acquisition price for the Saint-Etienne project was around €15 mln and it becomes the first Elithis tower to become part of the €4.8 bn Catella residential investment platform, the largest cross-border investor in this property sector in Europe.
Xavier Jongen, managing director Catella Residential Investment Management (CRIM), said: 'The Elithis towers are the blueprint for the future of affordable and sustainable residential living in Europe and we are at the start of rolling out a planned 10-year investment programme, starting in France and then moving into other major markets such as Germany, the Netherlands and the UK.
'The revolutionary energy-positive design of the buildings means tenants can make significant savings on their household costs, with the potential to eradicate their annual energy bills, while investors don’t need to sacrifice returns for a sustainable and low-risk stable income product offered at an affordable rent.'
The 4,000 m2 Saint Etienne development will comprise 56 apartments, nearly 500 m2 of office space and 257 m2 of retail, together with underground parking spaces.
The building, designed by architects PPX, is located on the corner of Rue Cugnot and Rue de Sergent Riviere in Saint-Etienne’s Châteaucreux area, the city’s business district and location of its central station.
Thierry Bievre, CEO Elithis, said: 'Our DNA and advances in technology that have enabled us to design and build energy-positive buildings for the same construction cost as a standard building should send a strong message to real estate investors and governments that cost is no longer a barrier to integrating the highest levels of sustainability in residential developments.
'We are planning to start the development of another 8-10 projects in France this year and are working on several others across Europe, some of which will get underway this year.'
