Arminius Group, an independent transaction, asset and fund manager with a focus on sustainable commercial real estate within Germany, has launched the Arminius Manage-to-Sustainability Office fund. With this new fund, Arminius will seek out real estate opportunities with significant value-add potential in all three ESG dimensions: protection of our environment, social awareness, and good corporate governance.
The open-end special alternative investment fund (offener Spezial-AIF) is aimed at professional and semi-professional investors and designed for a fund portfolio target of up to EUR 1 billion in gross investments. Arminius is striving for a maximum debt ratio of 60 per cent at the portfolio level. HANSINVEST Hanseatische Investment-GmbH will serve as the fund’s service-providing capital management company (KVG).
The fund’s Core+ strategy focuses on office properties in prime urban locations throughout Germany. Through a rigorous in-house analysis of local markets, Arminius has identified 30 urban areas for potential fund investments, including major metropolises such as Hamburg and Cologne as well as smaller but economically vibrant cities such as Wiesbaden, Mainz and Leipzig. The fund will consider property investments starting from EUR 30 million.
“Demand for ESG-compliant office properties is increasing, on both the investor side and the user side,” explains Christian Molter, Managing Partner at Arminius. “Without improvements to existing structures on a massive scale, neither climate goals nor user requirements can possibly be met. With our manage-to-sustainability approach, we aim to invest into office properties which we are highly confident, based on our ESG scoring, can be transformed in a way which is economically attractive.”
The basis for investment decisions is a proprietary management and reporting tool developed by Arminius which, while broadly taking into account the EU taxonomy and the 1.5°C climate target of the Paris Climate Accords, models specific ESG criteria across the entire value chain, from purchase through asset management to ultimate sale.
Properties with no viable potential for ESG compliance are sorted out through an initial assessment based on 40 ESG exclusion criteria. For properties with potential, a scoring and analysis process based on 150 evaluation criteria then generates purchase scores and ESG attainability scores, while also identifying asset management opportunities and transitioning directly into the due diligence process.
The Arminius Manage-to-Sustainability Office fund has been approved by the German Federal Financial Supervisory Authority (BaFin) as an “Article 8 fund” in accordance with Article 8 of the Sustainable Finance Disclosure Regulation (SFDR).
Disclaimer
This is marketing communication. Please refer to the brochure dated August 2022 prior to an investment decision. Furthermore, all characteristics and objectives of the investment fund as disclosed in the fund documentation and the key investor information must be taken into account when making an investment decision.
About Arminius Group
As an independent transaction, asset and fund manager for institutional investors and family offices, Arminius is the boutique for sustainable investments in commercial real estate in Germany. For our investors we provide access to attractive investment opportunities across the entire risk-return spectrum as well as the complete capital structure. Arminius creates for each client exactly the investment product that suits their needs and provides high quality and highly specialized work as an extended workbench.
Founded in 2006, our team has structured, implemented and concluded transactions with a volume of more than €6.2 billion. We are aligned with our investors’ interests, create sustainable value and aim for long-term partnerships.
