Catella Residential Investment Management has acquired its second Elithis Residential Tower project, this one in Dijon, France, on behalf of an institutional mandate.
he acquisition is part of its Impact Project, a plan to invest €2.0 billion in 100 towers across Europe in what is claimed to be the world’s first energy-positive residential development programme at scale.
The 4,600 sq m development is located in Dijon’s Arsenal district and will provide 59 affordable and sustainable homes, together with more than 1,000 sq m of office and retail space and was purchased for around €15 million.
The deal closely follows the acquisition of its first Elithis Tower project in Saint-Etienne, east-central France, in April for the CER III Fund on the Catella Residential pan-European platform, which also meets the impact investing criteria for the EU’s highest level of institutional ESG .
Catella has an exclusive supply agreement with Elithis, a French engineering and design company that conceived the energy-positive building concept.
The Elithis towers will produce more power than they consume, but their cost is comparable to standard buildings. Furthermore they will eliminate tenants energy bill and their rents will be 5% to 10% lower than the average for the surrounding neighbourhoods.
Towers outperform latest EU targets for CO2 reduction
“In April, the EU announced a new target for cutting CO2 emissions – 55% by 2030. Elithis towers already outperform this target, and the 2050 carbon neutral end goal, through the use of technologies which render the buildings energy positive from the outset while also providing social benefits as the apartments are more affordable than regular rental units,” said CRIM managing director Xavier Jongen.
Jongen said the Dijon acquisition is also symbolic because that is where Elithis Group developed its first energy positive tower in 2009.
Catella said it is now looking for enlightened investment partners to help drive the expansion of the impact investing concept across Europe.
Dijon’s Arsenal eco-district is a 12.6 hectare regeneration scheme that is transforming former military and industrial land into a new residential quarter, with parks and promenades around the Burgundy canal and the city’s T2 tram line.