The €4.1 billion ($5 billion) M&G European Property Fund has acquired a €148 million ($180 million) portfolio of 11 residential assets in Helsinki in a concerted push to expand residential exposure in Continental Europe and the Nordics.
The assets have been purchased from two separate entities with 10 acquired from ÅB Kodit (a joint venture between Ålandsbanken Housing Fund and YIT) and one directly from the Ålandsbanken Housing Fund.
According to population projections, Finland will need 760,000 new homes by 2040, with the strongest demand coming from Greater Helsinki and Finland’s largest cities where there is a shortage of energy efficient, modern living space. Rents across the largest cities have seen uplifts of up to 21 percent over five years, with smaller apartments in particular demand. Strong rental growth is anticipated, particularly in the second and third largest cities of Tampere and Turku – attractive residential locations with large unive
