Frankfurt am Main, October 10 2016

CORESTATE and Bayerische Versorgungskammer launch EUR 500m Micro Apartment Fund on AIF platform of Universal-Investment

CORESTATE Capital Holding S.A. (“CORESTATE”), a fully integrated real estate investment manager based in Luxembourg, and Bayerische Versorgungskammer (BVK), one of the largest institutional pension funds in Germany with assets under management of more than EUR70bn, have launched a Luxembourg special fund with a targeted volume of EUR500m. The fund is launched on the Luxembourg AIF platform of Universal-Investment and is part of one of the new real estate umbrella funds launched on behalf of BVK.

The institutional fund primarily invests in micro apartments, especially in student housing properties in European university towns that have continued to display solid economic fundamentals, with a special focus on Germany and Austria. The first assets integrated into the fund are five student housing assets from CORESTATE's current portfolio, which have an aggregated annual net rental income of approximately EUR9.3m. The five assets with a total of 1,836 units are located in Bayreuth, Frankfurt am Main, Mainz, Potsdam and Vienna.

André Heimrich, Member of the Management Board Investments of Bayerische Versorgungskammer: "For us, the newly launched micro-apartment fund offers the rare opportunity to invest in a functioning portfolio with an attractive return forecast and at the same time to involve a specialist in this segment for asset management. As a result, we are also expanding our investment spectrum with a future-oriented asset class."

Sascha Wilhelm, Chief Executive Officer of CORESTATE: "We have set the clear objective of expanding our institutional investor base and are focused on building the relevant infrastructure to fully cater to their needs in terms of reporting standards and transparency. This transaction proves that we are not only able to build the relevant structure but also to tailor a portfolio matching the investment criteria of Bayerische Versorgungskammer."

CORESTATE is also mandated to provide the asset and property management services for the above-mentioned student housing assets as well as for future assets to be integrated into this fund.

Alexander Tannenbaum, as Managing Director in charge of Universal-Investment’s real estate business: “Individual structured real estate umbrella funds enable institutional investors to efficiently mandate external real estate managers as part of their overall investment strategy.”

About Bayerische Versorgungskammer

Bayerische Versorgungskammer is the competence and service centre for occupational and communal pension schemes and Germany´s largest pension scheme group under public law. It is the joint executive body of twelve liberal professions´ and communal pension schemes. Bayerische Versorgungskammer covers about 2.1 million insured persons in total, with contributions of € 4.2 billion and € 3 billion pension payments annually. It currently has € 66 billion assets under management and 1,200 employees.

Visit www.versorgungskammer.de for more information.

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