INTREAL remains on stable growth trajectory in Q3 2021
10. Nov 2021
IntReal International Real Estate Kapitalverwaltungsgesellschaft mbH (INTREAL), Germany’s leading third-party AIFM in the real estate sector, maintained its stable growth trajectory during the third quarter of 2021 as it continued to expand its business activities. By the reporting date of 30 September 2021, the assets under administration (AuA) added up to c. 46.6 billion euros, which implies an increase by c. 3.9 billion euros since mid-year. The increase since the end of the 2020 financial year comes to c. 8.1 billion euros (AuA as of 31 December 2020: 38.5 billion euros).
During the months of July, August and September 2021, a total of 20 new investment funds were set up. At the same time, the number of assets administrated by INTREAL grew by 181 during Q3. By 30 September 2021, the third-party AIFM therefore had a total of 257 investments funds and 1,930 properties under administration. Because of the ten jobs added during the quarter under review, the total number of staff working for INTREAL in its branch offices in Hamburg, Frankfurt and Luxembourg grew to a total of 383 employees. The latest quarter-end figures of INTREAL include, for the first time, the business performance in Luxembourg.
No Slowdown Prompted by the Coronavirus Pandemic or the Interest Rate Discussion
Michael Schneider, Managing Director at INTREAL, commented: “Looking back at the first nine months of the ongoing year, it is safe to say that our business has proven rather crisis-resistant. The robust figures of the third quarter show—as did the mid-year figures—that neither the coronavirus pandemic nor the intensifying debate on the prospect of rising interest rates adversely affected the growth of INTREAL. Considering the status quo in capital commitments and the transactions already in the pipeline, we have reason to believe that the remaining weeks of the year will see a year-end rally and that we will conclude 2021 with record results.”
Number of Funds in Either Business Division Continues to Grow
The business of INTREAL essentially divides into two major business lines, these being partner funds, on the one hand, and AIFM services, on the other hand. In its partner funds business line, the third-party AIFM offers asset managers and property developers without AIFM license any service relating to the launching and administrating of alternative investment funds (AIF). In its AIFM services business line, INTREAL acts as the service arm of other licensed AIF management companies, taking care of complex administrative tasks like reporting, controlling (management accounting), fund accounting or equity investment management and risk management. While the partner funds division accounts for around 60 percent of the AuA, the AIFM Services division manages around 40 percent of the administrated assets.
Both business divisions continued to grow during the third quarter. The AuA in the Partner Funds segment grew by c. 1.1 billion euros to 25.8 billion euros between July and September 2021. The number of investment funds managed in this business line increased by three, bringing the total up to 136 funds while the number of fund partners remained unchanged at 48. The AuA in the KVG Services business unit grew by c. 2.8 billion euros during the third quarter of 2021, so that the total climbed to c. 20.8 billion euros by quarter-end. The number of funds for which services are being provided rose by 17, up to a present total of 121 funds as at 30 September 2021.
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