In 2018, the Swiss Life Investment Foundation once again increased assets under management substantially, with gross assets rising by 13 percent as of the end of 2018 to CHF 8.5 billion (previous year: CHF 7.5 billion). It is thus one of the six largest investment foundations in Switzerland.1 It plans to open the investment group “Real Estate Switzerland Retirement and Healthcare” on 2 May 2019 with a volume of around CHF 67 million. The target group of this offering are Swiss pension funds, which would like to invest in a segment with an attractive growth outlook.
The thematic investment group “Real Estate Switzerland Retirement and Healthcare” was launched in December 2017 and invests in properties in the area of age-appropriate and assisted housing, care institutions and healthcare properties. As of 31 January 2019, the investment group, which has nearly 200 investors, has a property portfolio with a total value of CHF 91.3 million. Most recently, in November 2018 it purchased the “Oase Rümlang” senior centre with modern, age-appropriate residences, an integrated residential care group and shared infrastructure.
The investment group had a net performance of 5.18 percent in 2018. Furthermore, it has identified a number of suitable properties that offer promising acquisition opportunities over the past year. The upcoming opening is intended to finance the purchase of existing properties and construction projects and reduce debt financing. The subscription period begins on 2 April and ends on 18 April 2019. The Swiss Life Investment Foundation will initially be presenting this offering to interested investors at its General Meeting of Investors on 6 March 2019.
Attractive retirement and healthcare real estate
Stephan Thaler, Managing Director of Swiss Life Investment Foundation, says: “Life expectancy continues to rise in Switzerland: the share of people over age 80 as a percentage of the overall population will rise from 6 percent today to 11 percent by 2050. In view of this development, the demand for age-appropriate housing is growing as well. The investment group “Real Estate Switzerland Retirement and Healthcare” provides the corresponding infrastructure while simultaneously presenting an attractive investment opportunity to institutional investors.”
1 Conference of Managers of Investment Foundations (KGAST)