Ærium plans €680m spree in Switzerland

The firm says it has raised equity from investors for deployment across the country.

Ærium, the European property investment manager is planning to invest CHF 1 billion (€676 million; $876 million) in Switzerland.

The London-based from said it had raised two funds focussed on the country which have raised equity from European, US and Middle Eastern pension funds, institutional investors and hedge funds. With leverage, the two vehicles provide a combined war chest of CHF 1 billion for deployment into Switzerland, the firm said in the statement.

Ærium opened an office in the country in June 2008 and appointed Brieuc de Crombrugghe to head a team of specialist property advisors. That team has so far invested around CHF 300 million and the firm has made its first investment for the new funds.

The firm headed Franck Ruimy has launched a total of 12 funds investing in certain parts of Europe. Two funds that are fully realised have delivered internal rates of returns of between 28 and 35 percent, it said. Key European markets include London, Paris, Prague, Bratislava, Warsaw and Istanbul.

De Crombrugghe said of the Swiss real estate market: “Switzerland provides a prime example of a country where the property market has remained stable during this period of economic volatility.”