Aberdeen Property Investors today unveiled its debut property fund investing in Scandinavia and the Baltic countries.
The open-ended fund, named Aberdeen Property Fund Sicav Pan-Nordic, is aimed at institutional investors and has a target size of around E1.5bn of debt and equity. It is looking to invest in all types of property with a value-added risk profile in the growth markets of Sweden, Norway, Finland, Denmark and the Baltic states.
Aberdeen proposes a 10%-15% annual net return on equity and an additional annual dividend between 5% and 6%. The fund’s first closing is due to take place on 29 September.
Fund manager Trygve Sletteberg, said: ‘There is tough competition to complete good deals in real estate in all markets across Europe, but our ‘on the ground expertise’ in the Nordic region allows us to identify good investment opportunities and actively manage the fund in order to generate strong fund performance for investors.’
Aberdeen already manages around E7bn of assets in the Nordic region.
UbbeStrihangen, international director of Aberdeen Property Investors, added: ‘Investor demand is changing from focusing purely on domestic investment to opportunities further afield that offer both diversification and the potential for higher returns.’