DGAP-News: Corestate Capital Holding S.A.
/ Key word(s): Real Estate/Product Launch
CORESTATE subsidiary HFS launches new senior fund Stratos VI and is now a one-stop provider of senior and subordinated loans for residential and commercial real estate
Frankfurt/Pfäffikon (CH), 14 September 2021. Helvetic Financial Services AG (HFS), a member of Corestate Capital Group (Corestate) and a leading provider of mezzanine financing in the German-speaking residential and commercial real estate market, has added the new senior fund Stratos VI to its product portfolio. The Stratos VI real estate bond fund has been set up as a special AIF (German special fund) and is targeted at professional and semi-professional investors. It will finance high-return development and existing properties from the residential and commercial real estate segment in the DACH region (Germany, Austria and Switzerland). The recently approved fund has already received an investment grade rating from a prominent rating agency. The fund's target return is over 5%. HFS expects the fund to have raised around € 500m by the end of 2021 and aims to increase that amount to approximately € 1bn in 2022.
Martin Bassermann, Chairman of HFS's Board of Directors: "Traditional lenders like banks are not meeting the need for real estate financing, causing a gap in demand for senior secured loans that urgently needs filling. The main causes of this are the increasing regulation of bank financing as well as the duration of the lending process. This is precisely where the new Stratos VI comes in. With a credit fund that will provide the necessary investment capital within four weeks, we are the closest alternative to traditional real estate financing. We are expanding our range of financing products to include senior tranches alongside our mezzanine subordinated loan business, which has been successfully operating for many years. Based on the investment commitments we have already received and numerous discussions with interested institutional investors, we are very confident that HFS will become a market leader in the senior segment as well."
Sebastian Ernst, Corestate's Chief Debt Investment Officer (CDIO): "HFS's new senior fund is the perfect addition to the Corestate Group's product range in the private debt segment and underscores our holistic approach to offering our real estate investors a full portfolio of solutions on both the real estate debt and real estate equity side."
Johannes Märklin, Corestate's Chief Debt Financing Officer (CDFO): "We believe there is substantial untapped potential for HFS in the area of senior secured real estate financing and subordinated loans and expect strong growth in assets under management in the medium term. HFS has stood for high standards of quality for 12 years now and has not recorded any loan defaults to date. This track record will clearly help us with this move."
HFS was one of the first companies to recognise the major potential of mezzanine financing and has established itself as a market leader in this segment of the German market since launching its first fund in 2009. In addition, HFS acts as an advisor for a large number of funds with its experienced and highly qualified team of over 30 employees.
About CORESTATE Capital Holding S.A. (CORESTATE)
14.09.2021 Dissemination of a Corporate News, transmitted by DGAP - a service of EQS Group AG.
|Company:||Corestate Capital Holding S.A.|
|4, Rue Jean Monnet|
|Phone:||+49 69 3535630-107|
|Fax:||+49 69 3535630-29|
|Listed:||Regulated Market in Frankfurt (Prime Standard); Regulated Unofficial Market in Berlin, Dusseldorf, Munich, Stuttgart, Tradegate Exchange|
|EQS News ID:||1233088|
|End of News||DGAP News Service|