German firm Quantum has joined forces with Provincial Asset Management (ProAM) to launch a new impact fund focused on ESG-compliant office real estate.
The vehicle, which will be targeting a volume of €750 mln, will invest in existing buildings that will be led into a new life cycle thanks to a manage-to-green approach. In addition, the fund will invest in new office buildings that are already ESG-compliant.
The fund will be focusing on the top German cities of Berlin, Hamburg, Munich, Cologne and Frankfurt and Dusseldorf. It is considering the acquisition of two ESG-compliant new buildings in Hamburg, which are almost fully rented, as the seed portfolio. In addition, the fund will buy a listed property in a prime location in Cologne, which is being redeveloped under the highest sustainability criteria.
‘The future handling of structurally sound existing buildings requires a rethink. Together with Quantum, we are convinced that a sustainable conversion of existing buildings is possible and makes sense in many cases,’ said Christian Schick, managing director of ProAM.
‘The shell construction of real estate in particular causes a significant CO2 footprint. If we continue to use them more in the future and at the same time revitalize the property by replacing the building services, insulation or façade, we can make a real contribution to climate protection,’ added Frank Gerhard Schmidt, co-founder and board member of Quantum.
