The Baloise Investment Foundation plans a capital increase of up to CHF 80 million for BAPRECH in Q1 2025, enhancing employee pension assets.
The Baloise Investment Foundation for Employee Pensions is poised to embark on a significant capital augmentation endeavor, targeting an impressive CHF 80 million for the Real Estate Switzerland Investment Group (BAPRECH) in the inaugural quarter of 2025. This strategic capital infusion is designed to enhance portfolio diversification, a move that is as prudent as it is ambitious.
The anticipated CHF 80 million will be allocated towards the acquisition of a meticulously curated portfolio of high-yield residential properties, characterized by a commendably low rent default rate and substantial potential for earnings enhancement. This initiative is expected to further bolster the geographical diversification of the portfolio, particularly in sought-after residential locales, as articulated in the company’s recent press release.
With an impressive CHF 9 billion in properties under management, Baloise’s asset management division proudly ranks among the top ten real estate investment managers in Switzerland. The firm boasts a venerable history of adeptly managing both residential and commercial properties across the entire value chain—from initial development to ongoing management—demonstrating a comprehensive understanding of the real estate landscape.
BAPRECH, which made its debut at the end of March last year, has already demonstrated its efficacy, successfully executing a capital increase of approximately CHF 20 million with existing investors by the end of November 2024. This maneuver elevated BAPRECH’s total assets to around CHF 130 million, a noteworthy milestone in its growth trajectory.
Through BAPRECH, Baloise is not merely expanding its portfolio of real estate investment solutions; it is also providing Swiss pension funds with access to a professionally managed, broadly diversified real estate portfolio, with a pronounced emphasis on housing, all under attractive conditions. In a landscape where investment opportunities abound, Baloise’s strategic initiatives are poised to resonate well with discerning investors seeking stability and growth in their portfolios.