Invest in Finnish urban housing
Sustainable, efficient and productive solutions for real estate investment.
Get to know Avara's funds
We provide the opportunity to invest in alternative investment funds (AIF) which invest in residential properties as well as opportunities in joint venture investment models and other partnerships. Our goal is to offer competitive returns to investors and opportunities for promoting responsible investment in the Finnish housing market.
The focal point of our funds lies in new rental apartments located or under construction in Finland’s growth centres. Urbanisation and changes in housing needs are actively monitored and accounted for in the development of current funds and the planning of new ones. Market knowledge and local presence help us identify the right investments and act fast.
Alternative investment funds
Alternative investment funds (AIFs) are closed funds that invest in residential properties. The investment and asset management services are produced by Avara Rahastot Oy, which acts as an authorised AIF manager pursuant to the Act on Alternative Investment Funds Managers. The supervisory authority is the Finnish Financial Supervisory Authority. Situation as of April, 2022.
Avara Asuinkiinteistörahasto I
The fund is a closed private equity fund investing in non-subsidised rental housing in Finland’s growth centres. Its strategy is to generate stable cash flow and returns with Avara’s own project development and by making use of the projects of construction companies. The fund’s investment commitments total EUR 45 million, enabling a total value of EUR 125 million with a moderate leverage ratio. The fund is fully invested.
- The investment phase has ended
- 684 apartments completed
Avara Residential Fund II
The fund is a closed private equity fund investing in non-subsidised housing and particularly rental housing in Finland’s growth centres. Its strategy is to generate stable cash flow and returns with Avara’s own project development, the development of completed investments, and by projects produced by construction companies. The fund’s investment commitments exceed EUR 70 million, enabling investments of more than EUR 200 million.
- The target size is 1 000 - 1 500 apartments
- 621 apartments completed
- 444 apartments under construction
Avara Vuokrakodit I
The fund invests in projects of affordable rental housing implemented with short-term interest subsidy loans in Finland’s biggest and most rapidly growing centres of growth. The new properties are largely based on Avara’s own project development. The fund’s investment commitments exceed EUR 27 million, enabling investments of more than EUR 300 million.
- The target size is +2,000 apartments
- 297 apartments completed
- 208 apartments under construction
Residential real estate funds
Our residential real estate funds are investment funds specialising in rental apartments whose investment and asset management services are taken care of by Avara Oy.
The real estate fund consists of affordable, subsidised rental apartments financed with interest subsidy loans and Arava loans; the fund is a non-profit owner of affordable rental housing that is subject to oversight by the Housing Finance and Development Centre of Finland ARA.
Comprises 4,324 rental apartments (12/2021)
The fund is fully invested and in the stage of developing its portfolio
Tammi-Kodit is a closed real estate fund that invests in non-subsidised rental apartments. The strategy is to develop the portfolio by liquidating apartments from select sites when the apartments are vacated and maintain the properties to be kept in rental use with a high quality.
The portfolio is fully invested and in the development stage
Comprises 427 rental apartments (12/2021)
Avara Star was a real estate fund established in cooperation with Starwood Capital. The fund consisted of non-subsidised rental apartments, with rental income focusing on the Helsinki region and other growing urban centres in Finland.
During the ownership of Starwood Capital and Avara major additional value and resilience was created through efficient implementation on a large-scale refurbishment programme of the apartments and further improving the sustainability profile of the assets.
Sold to Orange Capital Partners 08/2022
Comprised approx. 2,200 rental apartments
The number of buildings was 71
CIO and CFO, Partner
CEO, Avara Rahastot Ltd.