Ecological optimizations are now often the trigger for larger renovation projects. These include, for example, new heating systems, photovoltaic systems, or better building insulation. Global Real Estate has taken such considerations into account in its sustainability strategy for many years.
In past years, Global Real Estate has continuously reviewed the portfolio of over 1,300 properties with regard to utilization reserves. That's because, over the years, the needs of tenants and urban development requirements have changed, in addition to ecological and societal requirements. From an investor perspective as well, the focus is on the optimization of long-term returns – for instance, through densification, repositioning, or conversion, in order to minimize any vacancies and thus create added value for investors.
During the preliminary examination of the property, the internal Construction and Development department analyzes, among other things, the general accessibility situation of the property, the existing housing floor plans, the condition and design of wet rooms and kitchens, the outdoor spaces such as balconies and green areas, as well as the fulfillment of sustainability standards, in order to ensure the long-term rentability of the property and therefore long-term returns.
After the in-depth analysis and taking into consideration the aforementioned aspects, the project team and the fund manager decide whether the property should be renovated or completely repositioned.