a.s.r. real estate

a.s.r. real estate: more than 125 years of local presence and knowledge

ASR Dutch Prime Retail Fund – Driven by research

The Manager, a.s.r. real estate, has made significant resources available to develop a dedicated scanning tool for the Dutch retail market in order to benchmark ASR DPRF assets and all other assets with the potential for acquisition. One example of how this works in practice was the acquisition of District Shopping Centre (DSC) Castellum (Houten), which scored very highly on the District Shopping Centre Filter, both on catchment area characteristics and shopping centre characteristics. This DSC was acquired by ASR DPRF at the end of 2017 with an attractive yield.

undefinedIn the coming year, a.s.r. real estate will be implementing the Supermarket Filter and use Geographic Information Systems (GIS) to assess the market potential of the catchment area of supermarkets, and to investigate the turnover potential of stores and the potential profitability of supermarkets, which will ultimately affect future rental income (see image). A red-coloured polygon shows a more saturated market, while a green one shows an underserved catchment area. By increasing the amount of data that the Manager can process and enhancing management reporting, the Manager will be successful in future acquisitions and monitoring ASR DPRF’s portfolio.

Snapshot of Supermarket Filter (Utrecht) by a.s.r. real estate.

ASR Dutch Core Residential Fund – Deal execution strength

The residential market has recently seen a strong increase in investment competition, coupled with the tightening of yields. In this market environment, ‘traditional’ methods of acquisition can be challenging. This has led to longer lead times in acquisitions and tender projects. ASR DCRF employs a long-term investment profile, whereby investments are assessed on their long-term outlook, based on a.s.r. real estate’s bespoke research tool; Residential Filter. This highly data-driven approach, combined with a broad network of long-term partners through which it is able to ensure long-term commitment, provides a competitive market advantage.

In 2017, ASR DCRF joined a consortium with developer AM and, among others, a social housing corporations in a tender for the development of 37,500 sq. m. of commercial space and 1,300 residential units in the new Bijlmerkwartier in Amsterdam. The long-term commitment of several parties, such as a.s.r. real estate, to liberalised rental units at an early stage in the process was crucial in winning the tender. This allowed for an ambitious and sustainable plan for a modern city neighbourhood with an attractive mix of commercial functions and residential units.

ASR Dutch Mobility Office Fund – Hands-on asset management

Since the inception of the Fund in December 2016, the Manager has made significant progress in increasing the occupancy levels of both the current and pipeline portfolio. Over a 15-month period, the occupancy rate rose by 4.1% to 94.1%. Due to our extensive network and reputation as a good landlord, our asset managers are being actively approached by tenants who would like to lease office space in several buildings that are part of the Fund. The in-house Property Management department compiles a sophisticated summary of all rent proposals received, under negotiation or signed. This allows the achievable contract rents to be optimised.

undefinedDetailed Asset Management plans have been developed for all ASR DMOF’s office buildings. Active leasing strategies and long-term and short-term investment programmes are included and monitored quarterly. The Europlaza building in the Amsterdam Zuidoost area is a great example of an asset that has shown great resilience after anchor tenant Europeesche Verzekeringen left the building in 2016. A bespoke renovation plan coupled with the emergence of Zuidoost as an office location (more on this in the article “Revitalisation of mobility hubs set to unlock value for ASR DMOF”) have resulted in great interest from a diverse group of tenants. The occupancy rate was 72.2% in December 2016 and will potentially increase to 98.2% during 2018 if all outstanding rent proposals will be signed.

Snapshot of Dutch Office Location Filter (Amsterdam Zuidoost - Bullewijk) by a.s.r. real estate.

For more information on the a.s.r. real estate sector funds, please contact Luc Joosten.

Luc Joosten
head of Fund Management
a.s.r. real estate
M: +31 (0)6 83 64 81 85
E: luc.joosten@asr.nl