Realstone AST buys seven properties
The new properties of the residential investment group are mainly located in western Switzerland and will be financed with funds from a capital increase.
The Realstone Investment Foundation has raised CHF 51.3 million for the Realstone Residential Real Estate Switzerland (RIRS) investment group as part of a capital increase. According to the information provided, 14 pension funds, including two new investors, participated in the issue. The number of pension funds now stands at 58. The capital increase was completed on September 26.
Investment group grows by 53%
The fresh funds will be used to finance the acquisition of seven properties that have already been secured. Realstone estimates the total investment volume at CHF 60.68 million and the total rental income at CHF 2.38 million. "The average return on equity (ROE) of 3.0%, which is achieved for such assets in a currently very competitive market, is remarkable," the investment foundation writes in a press release. 85% of the income comes from residential use and 80% from western Switzerland. There is an average rental reserve of 30%. The total market value increased to CHF 544 million as a result of the acquisitions. Since the end of the year, the investment group has thus grown by almost CHF 188 million or CHF 53%.
