PATRIZIA, a leading partner for global real assets, today published preliminary, unaudited financial results for FY 2023. The Company successfully diversified its investment platform and delivered further organic growth in assets under management (AUM) through strategic investments for its clients into highly attractive market sectors underpinned by the major transition megatrends shaping economies and societies across the globe. Recurring management fees continued to grow in line with strategy, while transaction fees and performance fees remained impacted by market headwinds and temporarily subdued client investment activity.

Platform shows relative resilience in volatile market environment

PATRIZIA remained an active net buyer in the market with investments signed for clients more than offsetting disposals and redemptions. Nevertheless, market induced valuation pressure on Real Assets caused AUM to decline y-o-y. The overall reduction in AUM of 3.2% confirmed resilience in a challenging market environment. Debt levels in the funds managed remained low with an average LTV of 30.8%.

Positive investment activity in line with megatrends with diversified product offering as enabler

The investment activity for domestic and international clients supported the successful geographical and product diversification of PATRIZIA during FY 2023. Of the capital deployed in Real Assets, over a fifth was in the digitalisation of communities and smart city solutions through new fibre networks and broadband operators, while 20% was invested into the living sector that included major acquisitions of affordable and sustainable build-to-rent housing. Around 10% of capital was deployed in the global energy transition via investments in Electric Vehicle (EV) charging, energy distribution and renewables, and nearly 10% was committed to real estate and infrastructure credit opportunities. Investment activity targeted core European markets, the US and APAC.

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