German property group KanAm said on Tuesday that it has bought over €500 mln of European real estate so far this year, mostly for institutional clients and special funds.
Meanwhile, the Frankfurt-based group has sold assets worth a total of over €1 bn, bringing its assets under management down to €3.6 bn, half under fund management mandate and half under asset management mandate.
The company said it paid out over €4 mln each working day to private and institutional investors in 2016, representing a total of more than €1 bn.
At end-2016, the group transferred the grundinvest Fonds to the depot bank. By then, around 95% of the original real estate holdings worth around €6.4 bn had been sold.
Currently, three new special funds as well as the Leading Cities Invest (LCI) are in an investment phase, the marketing of a new special AIF fund is being prepared and two further funds are in development, including the Leading Cities North America, a fund for institutional investors listed in US dollars, which is to be launched next year.
In order to maintain an attractive risk-return profile, KanAm Grund Group has increased the share of hotel and retail properties as opposed to office buildings in the recent past. It has also upped the exposure of its open-ended funds to properties abroad, which currently represent 68% of the total portfolio. This reflects the group's attempt to transform itself from a 'German real estate fund issuing company into an international real estate enterprise acting globally', the group said.
