CapMan holds a €300 million first close for a Nordic open-ended residential real estate fund and simultaneously signs a portfolio acquisition in Helsinki in excess of €500 million

June 17, 2021

CapMan Real Estate press release
17 June 2021 at 12.00 noon EEST

CapMan holds a €300 million first close for a Nordic open-ended residential real estate fund and simultaneously signs a portfolio acquisition in Helsinki in excess of €500 million

CapMan Real Estate has established a Nordic core residential fund (“Fund”) with over €300 million in initial commitments from international investors. The Fund has an open-ended structure and is targeting €1.0 billion of equity by 2023.

The new Fund enables CapMan Real Estate to continue its highly successful and extensive residential business in the Nordics, where it has acquired approximately €2.2 billion of residential properties since 2014.

“There is tremendous investor demand for a product that invests exclusively in rental residential properties with a Nordic mandate. We know this market very well and have good relationships with property owners and developers and believe that an active and local value-add management approach can add significantly to the core return profile”, says Mika Matikainen, Managing Partner and Head of CapMan Real Estate.

“Our vast experience and track record in the Nordic residential sector should enable us to significantly grow the Fund over the coming years, and we already have a substantial pipeline of new investment opportunities”, comments Torsten Bjerregaard, Managing Partner, CapMan Real Estate.

First investment for the Fund

Simultaneously with the first closing, the Fund has signed an agreement to acquire a seed portfolio consisting of 29 modern rental residential properties with 1,854 middle-income apartments with a combined 88,279 m2 net leasable area in Helsinki Metropolitan Area and surrounding commuter towns from ICECAPITAL. The properties have been built between 2016 and 2021 and are in very good condition requiring minimal capex investments over the next 10 years.

“The properties are attractively located in growth centres in and around the Helsinki Metropolitan Area with good access to commuter connections. The relatively small unit sizes of the portfolio are consistent with the ongoing demographic trends that support a growing number of smaller households and preference to rent instead of owning a home,” says Juhani Erke, Head of CapMan Real Estate Finland.

CapMan’s Real Estate team comprises over 40 real estate professionals in Helsinki, Stockholm, Copenhagen, Oslo and London. CapMan Real Estate currently manages a total of €3.6 billion in real estate assets.

For additional information, please contact:

Mika Matikainen, Managing Partner, CapMan Real Estate, tel. +358 40 519 0707

Torsten Bjerregaard, Managing Partner, CapMan Real Estate, tel. +44 7715 772 554

About CapMan

CapMan is a leading Nordic private asset expert with an active approach to value creation. We offer a wide selection of investment products and services. As one of the Nordic private equity pioneers, we have developed hundreds of companies and real estate assets and created substantial value in these businesses and assets over the past 30 years. Our objective is to provide attractive returns and innovative solutions to investors. We have a broad presence in the unlisted market through our local and specialised teams. Our investment strategies cover Private Equity, Real Estate and Infra. We also have a growing service business that includes procurement services, wealth management, and analysis, reporting and back office services. Altogether, CapMan employs around 150 people in Helsinki, Stockholm, Copenhagen, Oslo, London and Luxembourg. We are a public company listed on Nasdaq Helsinki since 2001 and a signatory of the UN Principles for Responsible Investment (PRI) since 2012. Read more at www.capman.com.