Swiss property group Empira Group has announced the launch of its latest strategy, the Empira Transition to Green Fund.
The fund will focus on the sustainable revitalisation and energy upgrading of mid-market residential properties. Against the backdrop of the EU's "Fit for 55" initiative, the fund intends to make use of possible state subsidy programmes and utilise these as part of its investment policy in order to reduce the investment costs in equity and at the same time significantly increase the value of the properties.
The Empira Group's transition-to-green strategy specifically addresses under-managed properties in the top 8 cities and metropolitan regions in Germany. Measures such as window replacement, roof insulation, and modernisaton of heating systems upgrade the energy efficiency of these properties, while active rental management increases their value and reduces vacancy rates.
Empira Group's founder and Chairman of the Board, Lahcen Knapp, said: 'The fund comes at the perfect time: current market conditions and the price adjustments for non-sustainable buildings offer a rare double-dip pricing opportunity, allowing investors to invest in the future of German cities at an optimal time. A prosperous housing market that is also committed to sustainable principles is the foundation of our transition-to-green strategy. We see a future in which high quality housing and affordable rents are not mutually exclusive.'
He added: 'We are at a critical turning point. With the transition-to-green strategy, we offer investors a unique opportunity to enter the residential property market just when prices are bottoming out and awareness of sustainable buildings is growing.'