Opening for “Swiss Life Investment Foundation – Real Estate Switzerland Retirement and Healthcare ESG” completed successfully. Issue volume oversubscribed several times over. Capital to be used for attractive acquisitions and to reduce the borrowing ratio. Further opening and issue of entitlements of up to around CHF 130 million thanks to additional first-class real estate secured in line with the strategy.
Issuance oversubscribed several times
The opening of the real estate investment group from 16 January to 14 March 2025 attracted a great deal of interest from employee benefits institutions. The targeted volume of up to around CHF 200 million was oversubscribed several times. A total of 73 pension funds took part in the opening.
The new capital raised will be used for the targeted acquisition of additional properties, sustainable investments in the portfolio. To this end, two acquisitions worth around CHF 125 million were secured – a medical office building and an age-appropriate residential property with access to care services. The capital will also be used to reduce the borrowing ratio. The entitlements with an equivalent value of around CHF 200 million will be issued on 3 April 2025.
Successful portfolio expansion
The “Real Estate Switzerland Retirement and Healthcare ESG” investment group invests in age-appropriate residential properties, care facilities, healthcare properties and institutions promoting health in Swiss cities and their suburbs. Together with the two senior residence centres acquired in Frauenfeld and Ostermundigen in December 2024, and the two newly acquired properties in Zurich and Porza, the portfolio has been successfully expanded over the past 12 months and therefore kept its strategic focus on care facilities and age-appropriate housing and further optimised its diversification.
Stephan Thaler, Managing Director of the Swiss Life Investment Foundation, says: “We are pleased with the positive response and the significant capital commitments from our investors. This underlines the attractiveness of the investment group and their confidence in the expertise of Swiss Life Asset Managers.”
Announcement of another opening
In order to expand the real estate portfolio and better meet the high demand already mentioned, further properties that meet the strategy were reviewed. In this context, the Investment Foundation was able to secure a first-class property in Lugano from the portfolio of Swiss Life Ltd worth around CHF 100 million, subject to the approval of the responsible committees. Other properties are also being examined on an ongoing basis. The Board of Trustees of the Investment Foundation is confident that another opening for the investment group of up to around CHF 130 million will offer interested pension funds an additional attractive investment opportunity.
The subscription period will run from 25 March until 17 April 2025 (1:00 p.m.). The subscription documents and further information on the terms of the reopening will be available on 25 March 2025.
The NAV-based investment group has a history of stable and positive performance in terms of both income and value: since its launch in 2017, the “Real Estate Switzerland Retirement and Healthcare ESG” investment group has posted a performance of 4.68% per year. The portfolio is highly stable with an above-average rental rate of 98.5% (as at 31 December 2024). The market value of the 18 properties in the “Real Estate Switzerland Retirement and Healthcare ESG” investment group was CHF 714 million on the key date of 31 December 2024.
Responsible investment
Since 2018, Swiss Life Asset Managers has been a signatory to the UN Principles for Responsible Investment (UN PRI). Environmental, social and governance (ESG) factors are systematically integrated into the investment and risk management processes at Swiss Life Asset Managers. In the real estate investment business, appropriate criteria are taken into account in both acquisition and management. The “Real Estate Switzerland Retirement and Healthcare ESG” investment group has also participated in the annual GRESB (Global Real Estate Sustainability Benchmark) since 2018. Thanks to its continuous optimisation process, the investment group scored 91 points out of 100 in the overall assessment in 2024 and was awarded the maximum of five stars.
Information
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