BNP Paribas Real Estate Investment Management Luxembourg was recently awarded the official French socially responsible investment certification for its Healthcare Property Fund Europe, announced BNP Paribas on 13 December. This certification, reflecting the fund’s adherence to environmental, social and governance criteria, demonstrates the fund manager’s effective corporate social responsibility strategy, according to the press release.
Introduced by the French government in July 2020, the SRI label assists investors in identifying savings and property investment products that incorporate ESG criteria. It is valid for three years, with an annual review, and recognises funds that invest in assets with superior ESG performance or those that practice effective management to enhance ESG performance over time, the bank stated.
Nehla Krir, head of transformation, innovation and ESG for BNP Paribas real estate investment management France, stated in the announcement that the SRI label for their healthcare property fund Europe reflects their dedication to responsible investment. Krir also noted that achieving this label is part of the firm’s commitment to offering customers socially responsible savings and property investment products.
According to BNP Paribas, 85% of its real estate investment funds open to the primary market meet ambitious environmental targets and comply with article 8 of the sustainable finance disclosure regulation.
To attain the SRI label, the unit employed a stringent ESG criteria analysis grid to evaluate its assets, both before acquisition and during their holding period. The Healthcare Property Fund Europe adopted a ‘best-in-progress’ approach, focusing on acquiring assets to improve their ESG performance over time.
Eugénie Dubost, fund manager for BNP Paribas real estate investment, noted that the fund’s growth is attributed to over 12 years of expertise in the healthcare sector. The fund has set three ESG objectives in line with its SRI certification: enhancing the environmental performance of assets, improving access to care and the wellbeing of residents, and developing a joint ESG strategy with partner operators.
Launched in the first half of 2020, the fund provides exposure specifically to the healthcare real estate sector. As of 30 September 2023, the fund managed nearly €1bn in assets, spread across Europe in countries like Germany, France, Spain, Belgium and Italy.
In 2023, the property fund expanded with acquisitions including a new healthcare facility in Hamburg, Germany, and a portfolio of five nursing homes in Belgium, marking its first acquisition in the country. Additionally, new healthcare facilities in northern Italy are slated to be added to the fund’s portfolio by the end of the year, revealed stated BNP Paribas.