The Swisscanto (CH) Real Estate Fund Swiss Commercial fund is adding three properties in central locations in Switzerland to its portfolio.
The Swisscanto (CH) Real Estate Fund Swiss Commercial fund (ISIN: CH0111959190) has acquired an attractive real estate package with three existing commercial properties in Lugano, Glattbrugg and Vevey. The transfer of ownership will take place retroactively as of 1 January 2019. The market value of the acquisition is approximately CHF 45 million; the gross yield is 4.9%. The properties have good visibility and are located in excellent micro locations (business centre, railway station).
Fund manager Patrick Schmid said "The acquisition has enabled us to further optimise the fund's portfolio in terms of the size and number of individual properties, geographical location and breadth of the tenant structure. The portfolio expansion will strengthen the fund's income and distribution base."
The Swisscanto (CH) Real Estate Fund Swiss Commercial fund invests in commercial real estate (assets) throughout Switzerland and pursues a core/core-plus investment style with a long-term, low-risk investment horizon. The objective of the fund is to achieve a sustainable regular income and to ensure long-term capital preservation.
The property in Lugano is situated in a central micro location in the business centre. The building was constructed in 1992 and is well maintained. It is an office property with a secondary gastronomy use on the ground floor. The mixed-use property with a residential portion in the centre of Glattbrugg was built in 1992 and has an attractive tenant mix consisting of medical practices, shops and public uses. The building in Vevey has six storeys above ground and is divided into a retail space on the ground floor and office space on the upper floors.