The Bouwinvest Dutch Healthcare Fund is an investment fund exclusively for the Dutch construction sector pension fund bpfBOUW and embodies the pension fund’s financial and social targets. Investing in this sector provides good long-term prospects, both financial and social, due to the increasing demand for care homes and care solutions.
The number of people in the 65+ age group has been on the rise in the Netherlands since the early 1990s, along with a concomitant ageing of the overall population. The group of people known as baby boomers, those born in the period from the mid-1940s to the mid-1960s, have already retired or are set to retire in the next few years. On top of this, average life expectancy is set to increase from 79.5 years of age in 1990 to an average of 85.5 years of age in 2040. This so-called double-ageing, driven by both changing demographics and increasing life expectancy, will raise the number of 65+ households by 1.1 million in the period to 2040.
Our vision on senior housing
Stable financial and social returns
The demand for healthcare real estate will only increase in the years ahead. So the healthcare real estate market is attractive, because investors can bank on healthy returns for the longer term. On top of this, by investing in healthcare real estate, the parties involved will also generate healthy social returns. In this case, investments that make a direct contribution to high-quality care for elderly people and disabled people.
In recognition of our efforts, in 2021 and 2022 the fund was awarded a five-star GRESB sustainability certificate, which places it in the top 20% of the best performing real estate funds in the world.
“Bouwinvest is planning to increase investment in this market, to €600 million in 2022 and more than €1 billion in the subsequent five years”
On 10 March 2021, the Regulation on sustainability-related disclosures in the financial services sector (hereinafter: SFDR) came into force. The aim of the SFDR is to create more harmonisation in the sustainability-related disclosures that investment managers provide their clients and to make it easier to compare the financial products in terms of their sustainability.
Bouwinvest qualifies its products as light green, promoting ecological and social characteristics.
The Level 2 requirements of SFDR are applicable since the beginning of 2023. In addition to the generic statements, Level 2 requires statements on the level of financial products. In accordance with the SFDR requirements, all Bouwinvest funds are classified. The Dutch Healthcare Fund classifies as article 8 fund under SFDR and promotes ecological and social characteristics.
The product specific statements are included in the Information Memorandum and the annual report of the fund. In addition to these statements, the attached document provides the required information about the Dutch Healthcare Fund. Further information on SFDR and all statements can be found on the SFDR page.
Focus on three healthcare segments
Bouwinvest focuses on three segments: assisted living facilities, intramural care and private medical care facilities for the elderly and mentally disabled. Assisted living is a segment that combines living with care and other welfare-related services. Intramural care homes are permanent care facilities for people with mental or physical disabilities. Private medical care facilities are either privately-owned specialised clinics, or combined primary care facilities combining family doctors, physiotherapists and pharmacists.
Our view of good healthcare accommodation
When acquiring properties, we take into account:
- Prevention and independence: homes have a lay-out suitable for the provision of care.
- Meeting of like-minded people: the sustainable design encourages social interaction to alleviate loneliness.
- Flexibility: with minor adjustments, the concepts can be converted to other uses.
- Safety and comfort: homes have access to 24-hour care in the vicinity.
- Efficiency: complexes have the required scale, but retain a human dimension.