Care Property Scheme

In 2017, CapMan Nordic Real Estate Fund II (“CMNRE II”) identified an opportunity in the care property sector. This sector fits withing the fund’s targeted mega trend theme, benefitting from growing demand due to a rapidly aging population. By 2017, the care property investment market had matured to the point at which foreign investors accounted for a large share of the annual transaction volume recorded in Finland.

Due to the favourable sector fundamentals and investment market outlook, the fund accumulated an 11 asset care portfolio in and around growing cities in Southern Finland. The portfolio formation was completed in less than two years between 2017 and 2019 through several separate off-market investments. Two of the acquired properties were fully let at acquisition while nine of the assets were ground up developments. All developments were pre-leased to one of the leading care operators in the market on long net leases before the sites were purchased.

The completed portfolio with a total leasable area of 20,800 sqm and 430 customer spaces was sold to an international long-term investor in December 2019, two years earlier than originally planned.

Fast facts

Country

Finland

Milestones

Investment 2017
Exit 2019

Portfolio

Nordic Real Estate Real Estate Value-Add

Fund

CapMan Nordic Real Estate II

Contacts

juhani.erke@capman.com