Amaron Commercial Real Estate Fund

The Amaron Commercial Real Estate Fund is a Swedish alternative investment fund (AIF) focused on core investments within the commercial real estate sector, including light industrial, logistics, and warehouse/office properties. Typically, the assets will range between SEK 40-200 million. The fund is structured as a closed-end vehicle with an indicative life span of ten years and an expected total fund size of SEK 4–6 billion

The Greater Copenhagen region has been strategically selected as the fund’s primary investment area, based on its strong economic fundamentals and long-term growth prospects. The selection is further supported by the team’s extensive local knowledge, established network, and on-the-ground experience in the region.

Green, stylized building with four small windows and a large, triangular geometric shape on the right.

Fund Profile

  • In the heart of the Greater Copenhagen Region - a dynamic transnational market of over 4,4 million consumers

  • The link between the 28 million consumers in Scandinavia and over 100 million in Northern Europe

  • Green buildings, i.e., certified properties, or the right fundamentals for a certification

  • Commercial properties such as light industrial, logistics, office, and strategic projects

  • Cash-flow driven portfolio with inflation-hedged index-linked contracts

  • Locations with well-functioning communications and proximity to city centres and service facilities

  • Typical individual property size SEK 40-200 million

  • Long-term management approach with a focus on cost-efficient and value-enhancing property management

Fund objectives

Attractive risk-adjusted returns combined with long-term capital growth.

Coupon

An annual coupon of minimum 4 per cent paid quarterly, portfolio development realized at exit

Return on investment

Generate an average return on investment of 10-15 per cent annually (including coupon)

Leverage

The long-term leverage use is set to 50 per cent LTV

Asset Allocation

Focus on commercial properties such as office, industrial, logistic, and public residential properties and projects

ESG

Sustainability requirements apply to the fund as well as to the property management and technical maintenance

FUND TERM SHEET

  • 2022

  • SEK

  • 0.85% of AUM

  • 20%, hurdle rate 5%, no catch-up

  • 4%, paid quarterly

  • 10-15% annually

  • Indicative 8-10 years

  • Quarterly

  • Sweden

  • Limited company (AB)

  • Amaron Fund Management AB

  • FI, Sweden

  • PWC

  • GYB Depositary Services AB

  • Andulf Advokat AB

  • SEK 4-6 billion