Special fund for investing in modern micro apartment complexes
Flexible working and living arrangements are increasingly a fact of life for young professionals. The number of students in Europe is on the rise and dedicated housing solutions are required. In addition, the proportion of one-person households remains high. Having analysed these three social trends in detail, Union Investment responded by launching Urban Living Nr. 1 in summer 2017 as a fund solution that reflects these developments. It was targeted at institutional investors with a long-term investment horizon.
Urban Living Nr. 1 is an open-ended special AIF which primarily invests in dynamic German cities and metropolitan areas, with additional acquisitions in other European core markets. The first investment for the fund was the Milestone Graz micro apartment complex. The property was completed in 2015 and comprises 378 fully furnished student apartments. Graz was a very conscious choice for the first acquisition: Austria’s second largest city has 280,000 inhabitants, of which over 60,000 are students, with that number continuing to grow. It is a major location for science and research. An ÖGNI sustainability rating of Platinum highlights the resource-saving approach adopted at Milestone Graz, which includes water-saving fixtures, LED lights, key switches and a solar system.