Investment Strategy
Our main focus is Germany, with interests also in Portugal, where structural market imbalances exist in the supply and demand of residential and commercial properties.
Addressing such structural market needs with the right development solutions, provides for long-term investment success and strong growth prospects. This is achieved by either directly investing into large-scheme development projects or real estate developers.
As a fully integrated real estate development platform, Aggregate Holdings is covering the entire value chain in its investments: from acquisition and financing to planning, development and marketing with the aim to then either sell to third parties or keep as yielding asset for the long-term.
Strategy – Strong focus on value creation
- Access to unique off-market transactions
- Long-lasting business network established across Germany & other EU countries
- Positioned to acquire further plots and / or real estate developers
- Development profits as key driver of value creation
- Selective assets developed to own
- Profitable utilization of own land reserves
- Specialist in forward-sale to institutional investors and condo selling to individuals
- Reinvestment of profits into acquisition of identified pipeline
- Wide and structured approach to construction financing
- Ability to further optimize existing capital structure
- Broad network of international lending partners
”Build & Hold“ assets
Selective development assets sourced to keep long-term as yielding assets after construction.
Inhouse project management and development combined with optimised financing solutions maximise the basis for strong value accretion of these projects post completion while assets are let out and generate rental cash flows.
Core Projects
”Build & Sell“ assets
Development assets sourced to sell to institutional investors, mostly on forward sale basis during construction.
Development margins are enhanced by optimising project financing in conjunction with forward sales and effective capital recycling.
The efficient matching of construction milestones with received deposit payments on (forward) sales allows for cash flow optimisation and project risk reduction.
Core Projects
Financial real estate assets
26.6% STAKE IN ADLER GROUP
STRATEGIC LONG-TERM INVESTMENT
- Strategic & largest shareholder in the new ADLER Group with 26.6%
- In June 2020 the call option on our majority stake in Consus Real Estate sold to ADLER Group in December 2019 was exercised, contributing Consus into the freshly merged company of ADLER Real Estate AG and ADLER GROUP, forming one of Germany’s largest landlords.
- The newly formed ADLER Group is one of Germany’s largest residential real estate platforms combining a EUR 8.6bn rental portfolio with a growth path in Germany’s core cities through the acquisition of Consus’ EUR 8bn gross development portfolio.
- Aggregate followed its rights in the rights issue and has now acquired further shares to increase its stake from 22.5% to 26.6%
- Aggregate Holdings is by a significant margin the largest shareholder in ADLER Group, a potential MDAX candidate in the near future.
OPPORTUNISTIC SHORT-TERM PORTFOLIO
Investments with a generally higher liquidity profile in debt or equity formats, often in listed shares. Timeframes can be either long-term strategic or more opportunistic & short-term. Various investment strategies are applied, all serve the focus of maximising shareholder value by income generation or value accretion.
