European advisory firm Catella plans to launch two to three new special funds (spezialfonds) focusing on niche segments. ‘There is significant institutional demand for this type of fund,’ Bernhard Fachtner, head of Catella’s KAG responsible for German funds, told PropertyEU at EXPO REAL.

European advisory firm Catella plans to launch two to three new special funds (spezialfonds) focusing on niche segments. ‘There is significant institutional demand for this type of fund,’ Bernhard Fachtner, head of Catella’s KAG responsible for German funds, told PropertyEU at EXPO REAL.

Fachtner declined to give any details about the launch date, but said he was considering niche product classes such as sustainable energy-related real estate. Catella already has one spezialfonds and four open-ended funds in Germany. Its two largest funds, with volumes of EUR 1.5 bn, are focused on Nordic cities and on residential property. The other two are focused on niche segments such as healthcare and Munich commercial property. Its EUR 200 mln spezialfonds is focused on forestry.

In February, Catella started fundraising for Focus Alpe Adria, a EUR 500 mln closed-end fund for Italian investors targeting property in southern Germany, Austria, Switzerland and northern Italy. Milan-based Castello is the asset manager Commenting on the European market, Catella CEO Johan Ericsson said opportunity funds are beginning to re-emerge after a period of inactivity to take advantage of the long-awaited sell-off of properties by banks. ‘Opportunist funds have been sitting on the fence but are now stepping back into the market,’ Ericsson said.