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General Information

CS Real Estate Fund International 

The Swiss fund with international real estate investments

emission-cs-ref-international

Concept

Credit Suisse Real Estate Fund International (CS REF International) is the only Swiss real estate fund to date that invests directly in real estate on a global scale. The fund is geared toward certain qualified investors, pays dividends, and is managed in Swiss francs. The fund is largely safeguarded against currency risks.

CS REF International provides access to a broadly diversified portfolio of worldwide real estate investments and thus has opened up a form of investment for which no comparable alternative in the area of international real estate investment has existed to date. The fund allows for the diversification of total assets.

Investment Strategy

CS REF International belongs to the international "core/core plus" category of real estate funds due to its mixed investment strategy, which focuses primarily on properties used for commercial purposes. The objective of a "core/core plus" strategy is to generate relatively secure and stable cash flows stemming from quality properties in selected locations. Key elements of this strategy comprise a focus on medium-term to long-term rental agreements (depending on the respective markets), a relatively high occupancy rate, and the limited use of debt capital.

This strategy is supplemented with investments in growth markets that take advantage of market cycles and real estate with high potential in order to generate value enhancement in addition to the cash flows.

The fund is structured according to the following criteria:

Markets

A broadly diversified portfolio has been expanded since 2005. The portfolio aims to invest a third of the fund's net assets in each of the following three regions: Europe; Asia-Pacific; and North, Central, and South America. CS REF International owns a total of 29 properties in Canada, the USA (initial investment in 2009), Mexico, Chile, the UK (re-entry in 2009), the Netherlands, Germany, Japan, and Australia. At least 80% of the investment assets are based on a "buy-and-hold strategy." This means that the strategy aims to diversify its properties in accordance with portfolio theory. To this end, major restructuring of the portfolio is avoided to the greatest extent possible. Active management and optimal coordination with regard to timing were key success factors in ensuring that CS REF International was able to overcome the deterioration in the international real estate markets comparatively well and emerge from the crisis more robust than before. A particular focus is placed on acquisitions in countries where investments are already held, which allows for increased diversification within those countries.

Properties

The real estate fund aims to achieve a balanced mix with regard to property use, which consists of 10% to 25% retail space, 50% to 75% office space, and 15% to 25% other uses. The portfolio comprised 28 properties as of the end of April 2011. Five of these were used primarily as retail space and 23 were used primarily as office space.

Locations

The properties are situated for the most part in good strategic locations in economically lucrative urban centers.

Sustainability

Location and infrastructure are factors that will determine the sustainability of real estate properties to a considerable extent in the future. This is a result of the fact that rising energy prices and environmental concerns will make mobility more expensive in the future. The focus on quality properties therefore consists of strategically well-situated locations primarily in urban centers.

Target

Currently, the average investment volume per property is approximately CHF 50 million. With increasing fund size, and depending on the market situation, the strategy targets an even higher volume.

Returns

The real estate fund aims to achieve yearly performance of 5% to 6%* in CHF on a long-term basis.

* Historical returns and financial market scenarios are no guarantee of current or future performance. The performance data takes no account of the commissions and fees charged for issue and redemption.

Information Regarding the New Issue of Credit Suisse Real Estate Fund International

The issue will be conducted while preserving the subscription rights of existing investors. Subscription rights not exercised can be acquired by new investors.

Type of Issue

Based on commission ("best-effort basis") as part of a public subscription offer in Switzerland.

Subscription Period

May 25 to June 8, 2011 (12:00 noon, Central European Summer Time)

Subscription Ratio

6:1

Swiss Security Number/ISIN (Subscription Right)

13 030 983/ CH0130309831

Subscription Rights Trading

No official trading of subscription rights takes place.

Subscription Rights Price

Determination based on the average closing price between May 25 and June 7, 2011.

Issue Price

CHF 1,055.00 net per new share

Issue Commission

1,50%

Payment of Securities Subscribed

June 22, 2011

Issue Volume

CHF 318.4 million (maximum)

Appropriation

The proceeds from the issue will be used to further expand the investment portfolio.

Subscription

Directly with the contact person in your region  

Information

Ulrich Braun, Telephone 044 332 58 08 or
Fabian Linke, Telephone 044 333 44 00

Further Information (PDF)

Media Release

DE / FR

Publication NOVUM

DE / FR

Promotional Materials Folder

DE / FR

Issue Prospectus

DE / FR

Supplement to Issue Prospectus

DE / FR

Secondary Content