Searches and Hires

Tasmania’s Tasplan Super commits A$50 million to sustainable real estate

The A$9.2 billion ($6.5 billion) Tasplan Superannuation Fund committed A$50 million to a sustainable real estate investment strategy managed by Sydney-based EG Funds Management, a spokesman for Tasplan confirmed Tuesday.

In a news release, EG Funds Management said Tasplan, the only locally based super provider for the Australian state of Tasmania, has made a A$50 million commitment to EG's High Income Sustainable Office Trust.

The strategy, launched in 2016, focuses on acquiring office buildings with low energy ratings from the National Australian Built Environment Rating System, or NABERS, in pursuit of attractive risk adjusted returns driven, in part, by energy efficiency improvements.

As a result of Tasplan's commitment, the Clean Energy Finance Corp., a cornerstone investor in the strategy, has committed another A$25 million to the fund, lifting CEFC's total commitment to A$50 million, an EG spokeswoman said.

CEFC was launched by Australia's government in 2012 to facilitate increased financial flows into the clean energy sector.

A CEFC spokeswoman couldn't immediately be reached for comment.

The EG spokeswoman said the strategy currently has three assets with a combined value of A$81.9 million. The new commitments by Tasplan and CEFC, together with some leverage, will allow EG's High Income Sustainable Office Trust to add another two or three office buildings with a combined value of more than A$100 million, she said.

EG Funds Management oversees assets under management of A$2.1 billion, according to its website.