Stuttgart, Germany, June 30, 2022. In a forward deal, Real Blue Kapitalverwaltungs-GmbH, the asset management company of the Drees & Sommer Group, has acquired another integrated residential and nursing home for its open-ended specialized AIF Real Blue Senior Living. Seller of the property development is an affiliated company of Stuttgart-based KIAG Group.
In total, around 7,500 square meters of residential space and service areas is being built. The complex is being constructed in line with the energy efficiency standards 40 and 55 EE of the German KfW Development Bank. Construction is scheduled to be completed by mid-2023. The buildings will have a forward-looking and environmentally friendly heat supply that uses wood pellet boilers and peak load condensing gas boilers. A photovoltaic system is being installed on the roof, primarily for the operator’s own use.
When completed, the buildings, which are designed with easy accessibility in mind, will offer an aggregate of 44 assisted living units, 60 in-patient places, 26 day-care places and staff housing apartments.
The transaction is the second seed investment in an acquisition pipeline for the open-ended specialized institutional investment fund Real Blue Senior Livinglaunched at the beginning of the year. The investment fund pursues an investment strategy that complies with Article 8 of the EU Sustainable Finance Disclosure Regulation (SFDR) and also promotes social and environmental aspects. Further investment properties for acquisition and inclusion in the fund portfolio are being analyzed.
Staff Housing Facilitates Recruitment
”Despite the challenging market environment at the present time, Real Blue is continuing to expand its portfolio with further high-quality investments. The project in the German town of Sulz is a highly innovative usage concept employing a hybrid timber method. It accommodates different forms of living and care under one roof and is ideally integrated into the local market for properties aimed at senior citizens. Staff housing also provides a strategic advantage when recruiting personnel, currently the major limiting factor in this type of use,” explained Michael Eisenmann, investment fund manager in charge of the specialized AIF and Managing Director of the Real Blue asset management company.
Professor Dr. Robert Göötz, Managing Director with responsibility for risk management at Real Blue added: “Together with the seller, the project was further optimized during the acquisition process through the expertise provided by Real Blue and Drees & Sommer. The ecological quality of the real estate was again enhanced considerably, especially in relation to energy and the carbon footprint of the property.“
“We are proud of the way our project in Sulz am Neckar has been realized. It meets the latest requirements of institutional investors with regard to sustainability criteria for real estate. In this context, optimizing the project's ecological approach at an early stage, jointly with our partner Real Blue, proved to be real added value during the implementation phase. Our partner's specific experience as well as expertise in implementing environmental, social and governance (ESG) factors, combined with constant willingness to make further improvements, has also played a considerable part in this outstanding result,” commented Peter H. Kemmer, Managing Director at Stuttgart-based KIAG Group.