The Capital Bay Group (CB) and Gulf Islamic Investments (GII ) have launched a senior living fund called CB GII Senior Living Fund I.
The companies via a joint venture plan to purchase senior living properties for an amount up to €100 million in the next 6 months for the new senior living fund.
“The CB GII Senior Living Fund I is to be endowed with an investment volume of up to €500 million funded through with appropriate equity and debt contributions,” said Rüdiger Kimpel at Capital Bay.
”There are already equity commitments of €100 million for the semi-open fund. In the next six months, properties with a volume of €100 million 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 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.