CBRE Clarion Global Real Estate Income Fund
04/07/2022 | Press release | Distributed by Public on 04/07/2022 12:32
CBRE Investment Management and NN Group Launch Venture to Invest in Dutch Sustainable Residential Real Estate
CBRE Investment Management and NN Group, an international financial services company, announces the launch of its Positive Impact Programmatic Venture (PIPV), a collaboration between NN and CBRE Investment Management with an initial equity commitment of EUR 500 million. The venture will invest in Dutch sustainable and affordable residential real estate with the aim to improve energy efficiency and reduce carbon emissions. PIPV contributes to NN Group's target to increase investments in climate solutions by at least EUR 6 billion by 2030.
The programme aims to make an impact on a broad range of Environmental, Social and Governmental (ESG) themes. The ambition is to achieve alignment with the environmental objectives of the EU Taxonomy for all investment properties, while also focusing on providing mid-priced rental for households who do not qualify for social housing.
PIPV targets a reduction of 80% of landlord-controlled greenhouse gas emissions, procuring 100% renewable electricity by 2030 and net-zero operational emissions by 2035. Assets must achieve a high standard of energy performance, being at least 10% more efficient than the Nearly Zero Energy Buildings requirements as defined by the Dutch 'Bijna Energieneutrale Gebouwen' (BENG).
Jelle van der Giessen, Chief Investment Officer of NN Group commented: "Contributing to the well-being of people and planet is a key element of our strategy. NN has set clear targets towards net-zero emissions, and we have pledged to more than double our investments in renewable infrastructure investments, green bonds and energy efficient real estate in the coming years. The PIPV project is clearly contributing to that target."
Bas Tiemstra, Head of Separate Accounts CE, who jointly oversees the NN Group real estate portfolio with Sander van Riel, Head of CE Investments, Indirect Real Estate Strategies, CBRE Investment Management, commented: "Our work with NN through the PIPV will focus on assets that qualify as being highly energy efficient but also have rent affordability, tenant inclusion and wellbeing considerations at their heart. The programme has made its first acquisition with the forward funding agreement to acquire a residential asset located in a popular location in Eindhoven, the Netherlands. It is a solid first acquisition for the PIPV in delivering for investors and demonstrating this agenda."
Promotion of circularity, water conservation, biodiversity protection and pollution prevention will all be non-negotiable elements incorporated in the asset selection and construction design of the targeted PIPV properties. Going forward, the programme aims to include life cycle assessment of materials employed in the construction phase as part of the development design with the ambition to move toward innovative and traditional biomaterials for limiting embodied carbon and further reduce waste and pollution.
Simultaneously, the programme will add to the supply of affordable rental homes in high demand areas. A positive impact on communities and the well-being of tenants also plays a critical role in the objectives of the venture, with tenant satisfaction regularly assessed throughout their tenure. With the programme's aim to reduce energy consumption, tenants will also benefit from lower energy costs.
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About CBRE Investment Management
CBRE Investment Management is a leading global real assets investment management firm with $141.9 billion in assets under management* as of December 31, 2021, operating in more than 30 offices and 20 countries around the world. Through its investor-operator culture, the firm seeks to deliver sustainable investment solutions across real assets categories, geographies, risk profiles and execution formats so that its clients, people and communities thrive.
CBRE Investment Management is an independently operated affiliate of CBRE Group, Inc. (NYSE:CBRE), the world's largest commercial real estate services and investment firm (based on 2021 revenue). CBRE has more than 105,000 employees (excluding Turner & Townsend employees) serving clients in more than 100 countries. CBRE Investment Management harnesses CBRE's data and market insights, investment sourcing and other resources for the benefit of its clients. For more information, please visit www.cbreim.com.
*Assets under management (AUM) refers to the fair market value of real assets-related investments with respect to which CBRE Investment Management provides, on a global basis, oversight, investment management services and other advice and which generally consist of investments in real assets; equity in funds and joint ventures; securities portfolios; operating companies and real assets-related loans. This AUM is intended principally to reflect the extent of CBRE Investment Management's presence in the global real assets market, and its calculation of AUM may differ from the calculations of other asset managers and from its calculation of regulatory assets under management for purposes of certain regulatory filings.
NN Group profile
NN Group is an international financial services company, active in 19 countries, with a strong presence in a number of European countries and Japan. With all its employees, the Group provides retirement services, pensions, insurance, investments and banking to approximately 18 million customers. NN Group includes Nationale-Nederlanden, NN, NN Investment Partners, ABN AMRO Insurance, Movir, AZL, BeFrank and OHRA. NN Group is listed on Euronext Amsterdam (NN).
Important legal information
Certain of the statements contained herein are not historical facts, including, without limitation, certain statements made of future expectations and other forward-looking statements that are based on management's current views and assumptions and involve known and unknown risks and uncertainties that could cause actual results, performance or events to differ materially from those expressed or implied in such statements. Actual results, performance or events may differ materially from those in such statements due to, without limitation: (1) changes in general economic conditions, in particular economic conditions in NN Group's core markets, (2) the effects of the Covid-19 pandemic and related response measures, including lockdowns and travel restrictions, on economic conditions in countries in which NN Group operates, on NN Group's business and operations and on NN Group's employees, customers and counterparties (3) changes in performance of financial markets, including developing markets, (4) consequences of a potential (partial) break-up of the euro or European Union countries leaving the European Union, (5) changes in the availability of, and costs associated with, sources of liquidity as well as conditions in the credit markets generally, (6) the frequency and severity of insured loss events, (7) changes affecting mortality and morbidity levels and trends, (8) changes affecting persistency levels, (9) changes affecting interest rate levels, (10) changes affecting currency exchange rates, (11) changes in investor, customer and policyholder behaviour, (12) changes in general competitive factors, (13) changes in laws and regulations and the interpretation and application thereof, (14) changes in the policies and actions of governments and/or regulatory authorities, (15) conclusions with regard to accounting assumptions and methodologies, (16) changes in ownership that could affect the future availability to NN Group of net operating loss, net capital and built-in loss carry forwards, (17) changes in credit and financial strength ratings, (18) NN Group's ability to achieve projected operational synergies, (19) catastrophes and terrorist-related events, (20) adverse developments in legal and other proceedings and (21) the other risks and uncertainties contained in recent public disclosures made by NN Group.
Any forward-looking statements made by or on behalf of NN Group speak only as of the date they are made, and, NN Group assumes no obligation to publicly update or revise any forward-looking statements, whether as a result of new information or for any other reason.
This document does not constitute an offer to sell, or a solicitation of an offer to buy, any securities.
The programme aims to make an impact on a broad range of Environmental, Social and Governmental (ESG) themes. The ambition is to achieve alignment with the environmental objectives of the EU Taxonomy for all investment properties, while also focusing on providing mid-priced rental for households who do not qualify for social housing.
PIPV targets a reduction of 80% of landlord-controlled greenhouse gas emissions, procuring 100% renewable electricity by 2030 and net-zero operational emissions by 2035. Assets must achieve a high standard of energy performance, being at least 10% more efficient than the Nearly Zero Energy Buildings requirements as defined by the Dutch 'Bijna Energieneutrale Gebouwen' (BENG).
Jelle van der Giessen, Chief Investment Officer of NN Group commented: "Contributing to the well-being of people and planet is a key element of our strategy. NN has set clear targets towards net-zero emissions, and we have pledged to more than double our investments in renewable infrastructure investments, green bonds and energy efficient real estate in the coming years. The PIPV project is clearly contributing to that target."
Bas Tiemstra, Head of Separate Accounts CE, who jointly oversees the NN Group real estate portfolio with Sander van Riel, Head of CE Investments, Indirect Real Estate Strategies, CBRE Investment Management, commented: "Our work with NN through the PIPV will focus on assets that qualify as being highly energy efficient but also have rent affordability, tenant inclusion and wellbeing considerations at their heart. The programme has made its first acquisition with the forward funding agreement to acquire a residential asset located in a popular location in Eindhoven, the Netherlands. It is a solid first acquisition for the PIPV in delivering for investors and demonstrating this agenda."
Promotion of circularity, water conservation, biodiversity protection and pollution prevention will all be non-negotiable elements incorporated in the asset selection and construction design of the targeted PIPV properties. Going forward, the programme aims to include life cycle assessment of materials employed in the construction phase as part of the development design with the ambition to move toward innovative and traditional biomaterials for limiting embodied carbon and further reduce waste and pollution.
Simultaneously, the programme will add to the supply of affordable rental homes in high demand areas. A positive impact on communities and the well-being of tenants also plays a critical role in the objectives of the venture, with tenant satisfaction regularly assessed throughout their tenure. With the programme's aim to reduce energy consumption, tenants will also benefit from lower energy costs.
##
About CBRE Investment Management
CBRE Investment Management is a leading global real assets investment management firm with $141.9 billion in assets under management* as of December 31, 2021, operating in more than 30 offices and 20 countries around the world. Through its investor-operator culture, the firm seeks to deliver sustainable investment solutions across real assets categories, geographies, risk profiles and execution formats so that its clients, people and communities thrive.
CBRE Investment Management is an independently operated affiliate of CBRE Group, Inc. (NYSE:CBRE), the world's largest commercial real estate services and investment firm (based on 2021 revenue). CBRE has more than 105,000 employees (excluding Turner & Townsend employees) serving clients in more than 100 countries. CBRE Investment Management harnesses CBRE's data and market insights, investment sourcing and other resources for the benefit of its clients. For more information, please visit www.cbreim.com.
*Assets under management (AUM) refers to the fair market value of real assets-related investments with respect to which CBRE Investment Management provides, on a global basis, oversight, investment management services and other advice and which generally consist of investments in real assets; equity in funds and joint ventures; securities portfolios; operating companies and real assets-related loans. This AUM is intended principally to reflect the extent of CBRE Investment Management's presence in the global real assets market, and its calculation of AUM may differ from the calculations of other asset managers and from its calculation of regulatory assets under management for purposes of certain regulatory filings.
NN Group profile
NN Group is an international financial services company, active in 19 countries, with a strong presence in a number of European countries and Japan. With all its employees, the Group provides retirement services, pensions, insurance, investments and banking to approximately 18 million customers. NN Group includes Nationale-Nederlanden, NN, NN Investment Partners, ABN AMRO Insurance, Movir, AZL, BeFrank and OHRA. NN Group is listed on Euronext Amsterdam (NN).
Important legal information
Certain of the statements contained herein are not historical facts, including, without limitation, certain statements made of future expectations and other forward-looking statements that are based on management's current views and assumptions and involve known and unknown risks and uncertainties that could cause actual results, performance or events to differ materially from those expressed or implied in such statements. Actual results, performance or events may differ materially from those in such statements due to, without limitation: (1) changes in general economic conditions, in particular economic conditions in NN Group's core markets, (2) the effects of the Covid-19 pandemic and related response measures, including lockdowns and travel restrictions, on economic conditions in countries in which NN Group operates, on NN Group's business and operations and on NN Group's employees, customers and counterparties (3) changes in performance of financial markets, including developing markets, (4) consequences of a potential (partial) break-up of the euro or European Union countries leaving the European Union, (5) changes in the availability of, and costs associated with, sources of liquidity as well as conditions in the credit markets generally, (6) the frequency and severity of insured loss events, (7) changes affecting mortality and morbidity levels and trends, (8) changes affecting persistency levels, (9) changes affecting interest rate levels, (10) changes affecting currency exchange rates, (11) changes in investor, customer and policyholder behaviour, (12) changes in general competitive factors, (13) changes in laws and regulations and the interpretation and application thereof, (14) changes in the policies and actions of governments and/or regulatory authorities, (15) conclusions with regard to accounting assumptions and methodologies, (16) changes in ownership that could affect the future availability to NN Group of net operating loss, net capital and built-in loss carry forwards, (17) changes in credit and financial strength ratings, (18) NN Group's ability to achieve projected operational synergies, (19) catastrophes and terrorist-related events, (20) adverse developments in legal and other proceedings and (21) the other risks and uncertainties contained in recent public disclosures made by NN Group.
Any forward-looking statements made by or on behalf of NN Group speak only as of the date they are made, and, NN Group assumes no obligation to publicly update or revise any forward-looking statements, whether as a result of new information or for any other reason.
This document does not constitute an offer to sell, or a solicitation of an offer to buy, any securities.