MPC Capital launches ESG Core residential real estate fund with a target volume of EUR 300 million together with Universal-Investment
04 Feb 2021
- Development of a portfolio of sustainable residential properties in Germany
- First closing of EUR 80 million with institutional investors
- First asset purchases expected for Q1 2021
Hamburg/Frankfurt, 4 February 2021 - MPC Capital AG (Deutsche Börse Scale, ISIN DE000A1TNWJ4), an international manager of real asset investments, is launching ESG Core Wohnimmobilien Deutschland together with Universal-Investment as Alternative Investment Fund Manager (AIFM). The fund is issued as an open-ended Special Alternative Investment Fund (Special AIF). MPC Capital focuses on asset management and Universal-Investment on administration, risk management and reporting. The fund will have a total investment volume of EUR 300 million and will invest in real estate projects that consistently meet a comprehensive set of sustainability criteria.
Implementation of the ESG strategy
The fund follows the ESG strategy of MPC Capital AG and the increased orientation of its investment products towards ecological, social and governance-compliant criteria. Especially in the real estate sector, which causes almost one third of all global CO2 emissions and is responsible for about 40 percent of global energy consumption, high investments in sustainable projects are expected in the coming years.
First Closing over EUR 80 million
The first closing over EUR 80 million was achieved with institutional investors from the insurance company sector. The second closing is planned for the institutional target investor group of insurance companies, pension funds and foundations during the first half of 2021.
Selection of assets based on ESG Scoring Model
The central investment criterion of the fund is the development of a sustainable residential real estate portfolio. With the use of a scoring model developed specifically for this fund, target properties are identified that meet a series of quantitative and qualitative sustainability criteria along relevant UN sustainability goals.
Thus, the locations and properties that come into question for a purchase must meet special requirements that are based on energy, social and corporate ethical aspects. These include, for example, the overfulfillment of energy standards, the integration of mobility concepts or the proportion of subsidized and barrier-reduced living space. Due to the high demands on energy standards, the portfolio will mainly consist of new buildings.
First properties to be purchased swiftly
Based on the scoring, around 45 investment locations in Germany come into consideration. One focus is on so-called swarm cities, which benefit from an above-average influx of young and well-trained employees. The first three projects are to be purchased in the short term. They are located in the Hamburg and Frankfurt metropolitan regions and in Münster.
Dr. Ludwig Vogel, Managing Director Real Estate at MPC Capital: "A significant increase in the number of households with simultaneously decreasing household sizes is currently offset by a significant undersupply of apartments - especially in Germany's future cities. At the same time, rising construction costs and land prices as well as the high capacity utilization of construction companies are leading to a persistent excess demand. With an investment fund consistently focused on sustainable, affordable housing, we are thus hitting the nerve of the times".
"With MPC Capital, we have been able to secure another well-known asset manager as a fund initiator for our services as an Alternative Investment Fund Manager. Our business is developing very dynamically in this segment as well. The increasing specialisation towards asset management or capital management services in the real estate sector also contributes to this. We are therefore very pleased to be able to launch a fund with a convincing strategy together with MPC Capital," explains Katja Müller, Chief Customer Officer of the Universal Investment Group.
MPC Capital has been active as an asset and investment manager in the real estate segment for over 25 years. Since then, the Hamburg-based company has structured and financed more than 400 commercial and residential real estate investments in nine countries. With the launch of ESG Wohnimmobilien Deutschland, MPC Capital is further expanding its role as an investment manager of real estate investments for institutional investors.
About MPC Capital AG
MPC Capital AG is an internationally active asset and investment manager specialising in real asset investments. Together with its subsidiaries, the company develops and manages investment products for international institutional investors, family offices and professional investors. Its focus is on the asset categories Real Estate, Shipping and Infrastructure. MPC Capital AG has been quoted on the stock exchange since 2000 and has around 280 employees group-wide.
More information: www.mpc-capital.com
With fund assets of around EUR 642 billion under administration, there of EUR 441 billion in own vehicles and around EUR 201 billion in, inter alia, insourcing, well over 1,800 mutual and special investment mandates and a workforce of around 750, Universal-Investment is the largest independent investment company in the German-speaking region. With the acquisition of UI labs in January 2019, the industry-leading IT data specialist now completes the Group’s service portfolio by adding front office and data solutions. The investment company is the central platform for independent asset management and unifies the investment know-how of portfolio managers, private banks, asset managers and investment boutiques. Founded in 1968, the Universal-Investment Group is headquartered in Frankfurt/Main and has subsidiaries, branches and holdings in Luxembourg, Poland and Austria. It is one of the pioneers of the investment industry and has meanwhile become the market leader in the areas of master-KVG and private label funds. According to the 2020 PwC ManCo Survey, Universal-Investment is the largest AIFM ManCo in Luxembourg; among the Third-Party-ManCos, Universal-Investment ranks second (as of December 31, 2020).
More information: www.universal-investment.com
MPC Capital AG
Head of Investor Relations & Corporate Communications
Phone +49 (40) 380 22-4347
Head of Communications
Phone +49 (69) 710 43-575
Head of Investor & Public Relations
+49 (40) 380 22 - 4347