OP-Public Services Real Estate Fund is a non-UCITS fund which invests its assets in the service infrastructure of social education, physical culture and sports, social welfare, and health care services, comprising care services, child day care, education, multipurpose arenas, as well as service and hotel living. The fund also acts as builder of the above-mentioned service infrastructure. The fund mainly invests directly in commercial property and securities entitling to such property, in shares in limited partnerships engaged in property investment and in shares in housing cooperatives and real estate companies.
The fund acts as owner and lessor of the properties and principally does not take part in providing care services. Lessees are both private and public providers. The fund invests its assets in targets in areas for which long-term demand is expected.
The fund employs financial leverage, as is customary in property investment. In the base case, leverage is 30 per cent on top of the net value and it can no more than 50 per cent in a normal situation.
All costs arising from maintaining, owning and trading buildings and expert services used in property trading, which may have a substantial effect on the Fund’s return, will be paid using the Fund’s assets.