Invesco and Fokus Nordic partner for Finnish resi investments

Invesco Real Estate (IRE) and Fokus Nordic are partnering to invest in high-quality residential properties in key urban areas of Finland, marking their first venture into the Finnish residential sector.

Fokus Nordic

Fokus Nordic has been IRE's local partner in the Nordics since 2008, with their collaboration primarily focused on commercial real estate. Together, they have completed over €1.4 bn in transactions across 18 projects, including the transformation of the 'Fenix Sthlm' office property in Stockholm into a mixed-use development.
The new partnership will concentrate on acquiring and managing modern rental housing in affluent sub-markets within Helsinki, Tampere, and Turku in Finland.
John German, managing director and head of Living Investments in Europe at Invesco Real Estate, stated: “Our Nordic residential investments are currently €390 mln, circa 13% of our total residential portfolio, with 891 units across eight investments across Denmark. It is the second-largest market across our resi portfolio. The residential sector offers compelling investment opportunities for our international and European investors, driven by urbanisation trends and a strong demand for quality rental housing. Unlike other European residential markets, Finland has an unregulated residential rental market. There are no rental caps, which means that open market forces determine rental levels; it benefits from transparent ownership structures, and there is increasing international investor participation. Asset yields have softened from 2022 peaks and now appear to have stabilised, which makes market timing attractive in our view.”
Tonny Nielsen, Group CEO and partner at Fokus Nordic, added: "We are very proud of our long-lasting and successful co-operation with Invesco Real Estate and are grateful for the trust placed in us. We look forward to assisting the firm in implementing its local residential investment strategy and hope to make additional announcements before the end of 2025." 
Since 2013, Invesco Real Estate (IRE) has allocated approximately €4.1 bn across 72 investments. Currently, their residential assets under management total around €3 bn, spread across 42 investments in nine countries.