Capital Bay (CB) and Gulf Islamic Investments (GII) via a joint venture plan to purchase senior living properties for an amount up to €100 million in the next 6 months for new senior living fund called CB GII Senior Living Fund I
Berlin, 13. May 2022
- First joint fund with its Dubai based partner GII has been launched
- CB GII Senior Living Fund I to be endowed with investment volume of up to EUR 500 million
- Project acquisition in full swing: Purchase of manage to core and value-add properties throughout Germany of five million euros and above are already in progress
Capital Bay Group, an internationally active investment, asset, property and facility manager integrated at all stages of the value chain, as well as project developer for real estate of all types of use, launched a senior living fund for international investors together with GII. To this end, the two joint venture partners have created the necessary structures in Luxembourg, where the fund will also be regulated. In addition, GII has established an office in Frankfurt and is ready for underwriting the first batch of assets.
"The CB GII Senior Living Fund I is to be endowed with an investment volume of up to EUR 500 million funded through with appropriate equity and debt contributions," says Rüdiger Kimpel at Capital Bay. "There are already equity commitments of EUR 100 million for the semi-open fund. In the next six months, properties with a volume of 100 million euros are to be contributed to the fund. For this purpose, we are currently in the final due diligence process for 20 assets that are to be contributed to the fund after notarization. "The CB GII Senior Living Fund I focuses on manage to core and value-add properties in German cities with a population of 5,000 or more or in catchment areas with a corresponding demand for age-appropriate living of five million euros or more. By the end of the year, the investment volume is expected to grow to 200 million euros and be invested in additional senior living projects. "
Anni Hönicke from GII Frankfurt Office says: “We see strong demand for modern space in Senior Living Facilities. This demand will nor only be met with new developments. Together with Capital Bay we are confident to turn existing assets which may need capex into assets which are attractive for residents and a variety of operators.”
There are already plans to launch a successor fund as soon as CB GII Senior Living I is 75 percent invested.