Launched in 2011, MENGUS 2011 is a fund that focuses on commercial real estate in the Stockholm area. To enhance expected returns, property investments are held on a leveraged basis, facilitating an initial, total investment capacity of around SEK 2 billion. The fund maintains a value-added, risk-return profile and is positioned in the segment between institutional core investors and highly leveraged opportunistic funds.
The fund’s mandate is to invest in partly vacant office property with a potential for value enhancement through active refurbishment and leasing efforts. The fund had an initial SEK 860 million in commitments from institutionalinvestors. The first property acquisition was made in 2013 and the fund became fully invested in 2015. The fund’s property portfolio included three large office properties in the vicinity of the Central Station area in Stockholm CBD as well as one major asset in the vibrant Solna market. In 2017, two of the Stockholm properties were divested.