Pergam Properties Luxembourg
A new investment vehicle to benefit from the dynamics of the Luxembourg property market
(A Luxembourg FIAR - Reserved for professional investors - Closed for subscription)
By joining forces with leading local players, Pergam has established itself in the Luxembourg office real estate market.
Investment Strategy
In 2016, Pergam noted that Luxembourg's average per capita income was $75,000, 78% higher than France. The demographics of Luxembourg is dominated by growing immigration: the proportion of foreigners in the active population is 71%. The population, expected to increase by 15% by 2030, is growing faster than the number of residences.
The value of office real estate holdings represented € 32 billion in 2020 compared to € 23 billion in 2014, showing a growth of 40%. The vacancy rate has been continually falling since 2009 and was 5.7% at the end of 2016.
The Luxembourg real estate market has seen a significant increase in investment volumes, which have exceeded one billion euros annually for several years, 75% of which has been in the office sector.
Strategy
In a dynamic market marked by the absence of large European institutions, Pergam is partnering with LLC RE, the number one local real estate fund.
In fact, it is mainly local investors or end-users who are present in this market. This situation created the opportunity for LLC RE and Pergam to invest in this segment in 2017
Mechanism
In 2017, Pergam launched the investment vehicle Pergam Properties Luxembourg, which is mainly dedicated to the Luxembourg office property market. Alongside LLC RE, whose team has a solid track record, Pergam Properties Luxembourg is building strong local presence and deploying assets in a market with little competition.
million raised in 2017
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assets acquired since 2017
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sales completed
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PERGAM know-how
Building on its experience in real estate in the United States, PERGAM is partnering with Luxembourg's leading real estate fund to develop an innovative investment programme for its clients. Olivier Combastet, President of Pergam, is a member of the investment committee.
Partner
