Stuttgart, Germany, March 18, 2022 – AIF Capital Group, a specialist in regulated alternative investment funds based in Stuttgart, Germany, reports a positive annual balance sheet for 2021 and announces a new record year. Key company metrics performed strongly last year despite the ongoing impact of the Corona pandemic. AIF Capital Group posted an increase in assets under management (AuM) of approximately seven percent year-over-year and currently holds 105 properties in its portfolio. The number of employees at AIF Capital Group increased by around 13 percent to 44 during the period under review.
Successful start for healthcare fund “Fürsorge I” – first investment in the residential sector
AIF Capital considers itself to be particularly well positioned in the areas of healthcare and social real estate, as well as underground garages and parking garages, and acts here as one of the market leaders for specialized fund products. As important milestones AIF Capital shows for the past year newly launched fund products. For the “Fürsorge I” fund, which was only launched in the summer of 2021, the first five properties had already been acquired by the end of the financial year, including care facilities in the Stuttgart region and NRW. The healthcare fund focuses on fully inpatient care facilities throughout Germany. A further three properties were acquired for this fund at the beginning of 2022 alone.
The social demand for healthcare and social real estate, especially for full inpatient care facilities, continues to grow and has long since been fully established as an asset class in its own right on the investor side. AIF Capital has built up expertise in these areas since its inception, which is paying off in the current market situation. Reliable partnerships have enabled the company to expand its acquisition pipeline and attract new investors in 2021, despite increasing pressure on the asset class.
In the residential asset class, AIF Group became active for the first time in cooperation with its strategic partner, Provinzial Versicherung, and acquired a residential property in Berlin and a projected residential complex in Brandenburg. So far, AIF Capital Group has mainly invested in parking garages and underground garages as well as commercial, healthcare and social properties. The new properties in Berlin and the municipality of Schulzendorf thus represent an expansion of the previous investment spectrum for the Stuttgart-based investment and asset manager.
ESG criteria firmly in focus – investments in renewable energies
AIF Capital pays close attention to ESG criteria. In 2021, the Group therefore joined the ESG industry initiatives ECORE ESG Circle of Real Estate, ICG Institute for Corporate Governance and the international investor network UN PRI Principles for Responsible Investment. AIF Capital Group has also established its own in-house Center of Competence, which will be responsible for identifying and implementing ESG criteria for all Group activities in the future. To this end, AIF Capital recently brought Fabian Bauer, a sustainability manager, on board.
Dr. Sven Eggers, CEO of AIF Partner-KVG, says: “We see a great opportunity in dedicating ourselves even more to climate and sustainability goals and currently align eight of our funds with the so-called Art. 8 SFDR classification or higher. Three Art. 8 funds are in ongoing distribution, so have already been approved as such by BaFin. Our goal is also to enable our investors to invest in renewable energies in the future, via a planned Art. 9 SFDR impact fund. This will be one of the focal points for 2022.”
Market outlook 2022 – niche segments remain attractive – focus on mixed-use inner-city residential districts
In the segments managed by AIF Capital, the Group continues to see great potential for the coming year, but at the same time also increasing pressure on returns due to rising interest rates, further increases in construction and commodity prices, and a shortage of products as investor demand intensifies.
In 2022, AIF Capital intends to further complement its existing investment focus on the niche segments of healthcare and social real estate, underground garages and parking garages, and daycare centers by launching new fund products. For example, investments in mixed-use inner-city neighborhoods with a residential focus, so-called living quarters, as well as renewable energies are the focus of the current year. In addition, there are those products that AIF Capital implements with its external partners.
Mario Caroli, Managing Director of AIF Capital Group, says: “2021 was a successful year for AIF Capital Group. This is a credit to our great team. We need to build on this in 2022 as well. In the face of growing challenges from regulatory changes and geopolitical and fiscal uncertainties, we continue to see investments in real estate and infrastructure as attractive. With our expertise in the so-called niche segments as well as in ESG and renewable energy, we are well positioned.”
About AIF Capital Group
AIF Capital Group is a real estate manager and specialist in regulated alternative investment funds for institutional investors. As investor, trustee, KVG with BaFin license and asset manager, the company offers investors high-yield and sustainable real estate investments. The company is a member of the ECORE and ICG sustainability initiatives and is a signatory of the UN PRI. The group of companies was founded in 2006 in the private bank Ellwanger & Geiger and was fully acquired in 2017 as part of a management buyout. The company pursues the goal of making classic real estate asset management innovative and dynamic, while offering a high quality of service. The group employs 43 people, has equity of 5.6 million euros and currently manages assets (AUM) worth around € 1 Billion.