DNB Scandinavian Property Fund

DNB SPF was launched in 2007. The fund currently owns commercial properties in Norway and Sweden for approximately NOK 10.2 billion. The fund's objective is to build a broad and diversified property portfolio of NOK 12.5 billion. DNB Life Insurance co-invests in the fund and will own minimum 10 percent stake in the fund company.

A new web portal has been established for investors in DNB Scandinavian Property Fund

The portal is provided by the Norwegian company Aksjeservice AS, which also provides similar solutions for other fund players in Norway. In the portal, investors will have access to information about investments in DNB Scandinavian Property Fund, including for example market value, return, cost price, number of shares/units, dividend as well as contact information for the fund manager.

As of the third quarter of 2020, investor reporting will be distributed via DNBpropertyfund.no. Login to the system is via a simple but secure two-step login. Please use Chrome or Edge. Login: - dnbpropertyfund.no

HISTORY

DNB SPF was launched in 2007. The fund currently owns commercial properties in Norway and Sweden for approximately NOK 9.6 billion. The fund's objective is to build a broad and diversified property portfolio of NOK 12,5 billion. DNB Life Insurance co-invests in the fund and will own minimum 10 percent stake in the fund company.

PORTFOLIO AND RETURN

DNB SPF aims to achieve an annual return of 5-7 per cent over time which approximately 3-5 per cent is to be paid annually to investors. The last 5 years annualized return on invested capital has been 6.6 per cent. The property portfolio has a remaining weighted maturity of 6.3 years (with exception of one property which is defined as development). Economic vacancy is estimated at approximately 4.4 per cent.

INVESTMENT STRATEGY
The Fund will invest in office, retail/shopping centers and other/hotel in Norway and Sweden. When fully invested the portfolio shall in line with the following structure:
• Office 35-80 per cent
• Retail up 40 per cent
• Other/Hotel up to 25 per cent
Geographically minimum 60 per cent will be invested in Norway and a maximum 40 per cent in Sweden.

FUND STRUCTURE AND TERMINATION 
The master Fund is a Norwegian limited partnership. International investors are invited to invest through a Luxembourg FCP. The Fund is open-ended, but there are mechanisms that allowing both the external investors and DNB Life may dissolve fund structure given certain conditions.

RISK
The risk profile of the Fund should be moderate, and classified as a "core" fund according to INREV. Investing in real estate involves risks that the investor may incur losses. The risk of loss or lower return than expected will depend on a number of conditions. Investors are therefore asked to review the risk factors described in the Subscription and assess the investment from their own risk profile and financial situation.

SUSTAINABILITY
DNB SPF and DNB REIM have strengthened the focus on the environment, and the fund has a strong 'Green star' categorization of GRESB. As manager DNB REIM ISO 140011 certified. It is a target to achieve at least a “very good” certification according to BREAM of the fund’s properties.

REPORTING
DNB REIM prepares investor reports on a quarterly basis. The reports can be read on the company's website.l

MAIN INVESTORS
DNB Life; 35,5 %
Norwegian Pension Funds and institutional;  44,3%
International Investors; 19,5 %
Retail; 0,7 %

VALUATION
DNB SPF prepares quarterly review of the Fund's total net asset value (NAV). The values of the fund’s properties are determined as the average of two independent valuations, prepared by renowned actors outside DNB Group.

DISCLAIMER
The above information is not accurate or complete. The foregoing contains no recommendation on investment. A full review of DNB Scandinavian Property Fund will be available upon request.