Asset manager Scor Investment Partners has announced the launch of Scor Real Estate Loans V, the fifth vintage in its series of senior value-add debt funds.
Targeted towards institutional investors, the fund has already secured a €100 mln investment commitment from Scor Group, and aiming for a total size of €500 to €700 mln.
Scor Real Estate Loans V is positioned to capitalize on structural market changes and to respond to energy transition stakes in the real estate sector. The latter is driven by European regulatory changes, the growing demand for new or restructured and certified assets, and the need for investments to ensure ongoing functionality of assets, the company said.
This new fund aims to offer investors an attractive risk/return profile by leveraging the currently favorable conditions for lenders in the real estate debt market. It will finance projects located in the heart of major European cities, using a multi-sectoral approach that includes top-tier, senior, and whole loans.
In line with Scor Investment Partners' sustainable investment philosophy, the fund's investments will focus on improving the energy efficiency of existing buildings. Scor Real Estate Loans V is classified Article 9 under the European Sustainable Finance Disclosure Regulation (SFDR) and has obtained the LuxFLAG ESG – Applicant Fund Status.
Pierre Saeli, head of Real Estate Loans at Scor Investment Partners, commented: 'We are thrilled to launch SCOR Real Estate Loans V, a new vintage specifically designed to adapt to the structural changes in the real estate market, prioritizing assets in city centers, logistics, and housing sectors, as well as renovation projects. This fund highlights our unique expertise in the value-add real estate debt market, which offers historically attractive returns.'
Louis Bourrousse, CEO of SCOR Investment Partners, added: 'Our real estate debt strategy has consistently adapted to market trends. Our team has an in-depth knowledge of the sector which allows for a diversified portfolio construction. We are convinced that real estate debt is an ideal vehicle for investors looking to gain or regain exposure to the underlying real estate via levels of leverage that allow to absorb eventual fluctuations of the value of the assets.'
Over the past decade, Scor Investment Partners’ real estate debt strategy has deployed €2.2 bn across 87 transactions, spanning over various debt types including senior, whole loan, junior, and mezzanine.
