ERAFP launches a tender targeting investment companies for the allocation of two real estate investment mandates
- 7 February 2012
Paris, 7 February 2012 - As part of its asset allocation diversification programme, the French Public Service Additional Pension Scheme (ERAFP) is launching a public tender procedure for the allocation of two real estate investment mandates.
The ERAFP is organising a tender consisting of two lots, each corresponding to a different type of mandate: one involving unlisted real estate assets located in France, the other unlisted real estate assets located in Europe. In accordance with the scheme’s policy of 100% socially responsible investing, the new mandates will apply its SRI criteria. The investment strategy is based principally on investment in real estate assets generating a stable rental income, but also allows managers to invest in assets earmarked for restructuring with a view to improving their SRI performance.
- Lot 1: Real estate SRI France
This lot involves the allocation of mandates to manage a portfolio of unlisted real estate assets located in France. Investments will be made mainly in the following real estate asset categories: office, retail and residential. Lot 1 will be allocated to three mandate holders, two of which on a standby basis. The total amount to be invested under Lot 1, which is indicative only, will be in the region of €310 million over the first three years of the contract
- Lot 2: Real estate SRI Europe
The main purpose of Lot 2 will be to manage a portfolio of unlisted real estate assets located in OECD member countries within Europe. Investments may be made in France, but must not be prioritised nor represent a majority of the portfolio. Lot 2 will be allocated to three mandate holders, two of which on a standby basis. The total amount to be invested under Lot 2, which is indicative only, will be in the region of €350 million over the first three years of the contract.
The mandates will last ten years.
