Solvalor 61 buys two projects in Geneva
The acquisition of a building under construction with price-linked rental apartments and an apartment hotel will be financed by a capital increase.
The Solvalor 61 real estate fund has acquired two properties under construction in Le Grand-Saconnex (GE) in the "Quartier des Nations". The transaction was completed in July and the buildings are scheduled for completion in 2026. The construction site at Route des Morillons 22 has been in operation since spring 2024.
Over 100 residential units
The first property is a residential building subject to the Geneva ZDLoc system, a category of apartments with fixed rents for ten years. The property comprises 59 apartments, three commercial spaces on the first floor with a total rental area of around 6,500 square meters and an underground car park. Most of the apartments have four or five rooms. "The property offers considerable potential for rent increases once the rent freeze expires," writes Realstone SA in a press release. Completion is planned for spring 2026. The gross yield is 3.9%, based on the fixed rents and at an estimated purchase price of CHF 57 million on delivery.
The second building is designed as an aparthotel and will comprise around fifty apartments of various sizes, from studios to four-room apartments, as well as several commercial spaces. The total rental area of the ensemble will be almost 4,000 square meters. Completion and marketing of the apartments are planned for 2027. The gross yield here is 5.6% on the basis of a rent with operation as an aparthotel and at an estimated total price of CHF 48 million on completion.
The properties are located close to the new tram line planned for 2028 and in a green environment. Their design was the subject of an architectural competition and they will be certified according to the "Minergie-P" and "HPE genevois" standards. As a result, the properties are exempt from additional property tax for 20 years. The purchase of the two properties increases the proportion of properties built after 2000 in the fund from the current 19 to 22%.
Capital increase in October
A capital increase of CHF 170 million is planned for October to finance the acquisition. Further transactions and construction and renovation projects are also planned with the additional capital. The dates and detailed terms of the capital increase will be announced together with the fund's annual report on September 30. (aw)
