Nordic real estate developer-investor Premico has announced the launch of the first carbon-neutral property fund in the Nordics known as Premico Carbon Neutral Residential Fund (PCNRF).
PCNRF will seek to raise equity of €200 mln, giving it an overall investment capacity of around €400 mln.
It will focus on constructing residential buildings in prime locations with sustainability credentials and small carbon footprints. The fund will only invest in new residential build-to-rent assets located within the Helsinki region, aiming for carbon neutrality during the occupancy period and a BREEAM Excellent rating.
Local investment manager RIM will participate in the establishment of the fund. David Renger of RIM will be a part of the advisory board together with Petri Suutarinen, chair of the Green Building Council Finland and CEO of Finreim.
‘RIM and Premico have been cooperating on Finnish residential properties for five years and together with our investors we own and manage today circa 1,900 apartments through jointly owned companies. Now we take the next step and raise a fund together with the highest climate goals and this lay close to our hearts,’ said David Renger, CEO of RIM.
‘Demand for rental housing investment vehicles that generate a regular and stable income is high, because interest rates in general are currently low,’ explained Janne Vaula, CEO of Premico Group. ‘Premico has broad expertise in the Finnish rental apartment market, which we will also make full use of for the new fund. Premico’s goal is to provide unique rental apartment investment products, and the PCNRF enables us to serve a more international and diverse customer base.’
According to Vaula, the fund has received plenty of interest in its pre-marketing stage from various potential institutional and family office investors, particularly from Asia, Central Europe as well as the Nordics.
