11.03.2019

KanAm Grund Group aims to significantly increase the number of acquisitions

Reorganization to international real estate enterprise complete - After a reorganization in the staffing structures in both real estate acquisition and asset management, the annual objective for real estate deals is set at one billion euros - Further properties in Europe and Germany are already in the pipeline

Frankfurt (11 March, 2019) - The KanAm Grund Group has completed its reorganization into an international real estate enterprise ahead of schedule and aims to generate significant growth in 2019. The number of new acquisitions is set to increase further from an impressive 27 transactions and deals worth around a billion euros in 2018. Internal structures and processes have already been streamlined to achieve this goal. The global real estate acquisition department has been reorganized on regional and national levels to incorporate flat hierarchies. At the same time the sales department, responsible for promoting the generation of capital from institutional clients and direct sales, has been strengthened. Thus realigned, KanAm Grund Group will attend this year's real estate exhibition MIPIM in Cannes in mid-March.

Last year, the traditional capital investment company KanAm Grund, established in October 2000 with one main large open-end real estate fund, became the international real estate enterprise KanAm Grund Group, providing a wide range of investment opportunities, advisory and asset management services to institutional and private investors in Germany and the rest of the world. The company is now organized into three business divisions under the umbrella of the KanAm Grund Group: KanAm Grund Kapitalverwaltungsgesellschaft (an open-end real estate fund), KanAm Grund Institutional Kapitalverwaltungsgesellschaft (a special real estate fund) and the new KanAm Grund REAM (international investment advisory & asset management).

Since it was established, KanAm Grund Group has handled a transaction volume of over 32 billion US dollars. 2018 alone saw 27 individual transactions concluded and 187 tenancy agreements extended, or, in the case of 76 of them, newly signed. Alongside its LEADING CITIES INVEST public fund, the KanAm Grund Group now also manages a family of fast growing Special AIF Funds and 4 major Asset Management Mandates. More of these specialist funds, mainly aimed at semi-professional and professional institutional investors, are in the pipeline at KanAm Grund Group.

In line with the new growth objectives, the number of highly qualified staff has also seen an increase of around 18 percent (17 members of staff) in 2018/2019. In investment management, institutional sales and also bookkeeping and accounting, marketing and IT, staffing levels have been adjusted to lay the foundations for an increase in business transactions. With the establishment of the StepWise Capital GmbH sales company at the end of 2018, KanAm Grund Group has further extended its successful direct sales division and will strengthen its focus on German institutional investors, such as insurance companies, utilities, pension funds, companies and trusts. Special desks for Chinese and Korean clients in Frankfurt will enable the Group to better serve this growing client base in their native languages.

Over the last three years, the traditional business model has changed significantly. There has been a clear broadening and diversification of the shareholder's equity base, thanks to the institutional funds business and so-called separate accounts. Depending on the group of investors, KanAm Grund Group now acquires large and small properties, with asset types ranging from office, retail and hotel to logistics, and risk profiles ranging from core to development. The needs and expectations of the Group's clients are also undergoing a transformation. Discretionary capital, i. e. capital from investors who desire no say in investment decisions, is becoming increasingly rare, with investors wishing to be involved in decision-making becoming the norm rather than an exception.

In order to speed up traditional real estate management processes, KanAm Grund Group has set up flat hierarchies with their own competencies below top management level. What was formerly known as Investment & Asset Management Europe has now been split into two independent departments: Investment Management and Asset Management. At the same time regional or national "Country Heads" of real estate acquisition have been appointed for the core markets Germany Europe and North America. This facilitates quicker processes in real estate acquisition and real estate management without having to compromise in terms of the indispensable quality our clients are used to.

Summary of the KanAm Grund Group investment profile: click here
 
About the KanAm Grund Group
The KanAm Grund Group has handled a transaction volume of over 32 billion US dollars since it was established in October 2000. The owner-managed company focuses on the individual needs of German and international investors, with the geographical emphasis being in Europe and the United States.


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