“The first I hear about market opportunities is often through informal channels”
Back to overviewVincent Goye is a Senior Asset Manager at Avadis who manages residential and commercial properties in the French-speaking part of Switzerland. In this interview, he explains the characteristics of the Romandy real estate market, the meaning of active asset management today and the importance of a local network.
Vincent Goye, Senior Asset Manager
What are the biggest challenges in terms of the Romandy real estate market?
Real estate markets tend to be very local. A property in Lausanne presents different challenges than one in La Chaux-de-Fonds or Delémont, with demand, rent levels and the quality of the property stock varying significantly.
On top of this, legal frameworks vary at cantonal and municipal level. The cantons of Geneva and Vaud in particular have very complex regulations when it comes to residential property. Requirements and incentive schemes relating to sustainability also vary. To ensure successful property management, we need to be up to speed on all these factors.
What does active asset management mean in practical terms in your day-to-day work?
We have an investment and renovation plan for each of our properties, which helps us take steps at an early stage to maintain their long-term value. Through regular reporting, we monitor key performance indicators such as occupancy rates and the trend in rental income. Where necessary, we take measures to optimise the situation.
When it comes to commercial property, it is also crucial to gain a thorough understanding of the tenants. Knowing how satisfied a tenant is and what their plans are allows us to respond promptly to any issues that may arise. This requires personal contact.
Firmly established in the Romandy real estate market
The Avadis Investment Foundation manages assets in excess of CHF 5 billion in the Swiss real estate segment. Residential and commercial properties in the French-speaking cantons account for around CHF 1.5 billion of this total. The properties in Romandy are managed by a real estate team in Lausanne.
What do institutional investors expect from asset managers in the Swiss real estate segment today?
Our main responsibility is the professional management of our portfolio properties. This means taking appropriate steps to maintain and increase the properties’ income and value. We are currently implementing numerous measures in the area of sustainability. To make our properties more energy-efficient and cost-effective we are, for instance, fitting them with photovoltaic systems, connecting them to district heating networks and improving their thermal insulation.
Sometimes buildings can be raised to create additional rental space. In other cases, a plot may have unused space available for an additional building. Alternatively, space can be repurposed to create value, for instance by converting storage space into parking spaces.
Is it an advantage that Avadis has its own property team on site in Lausanne?
Market proximity is a major advantage in the real estate business. We need to have a thorough understanding of our properties, tenants and partners. Communication with local authorities is equally important, as many issues are dealt with at cantonal or municipal level.
Any effective local network requires years of development and maintenance. The first I hear about market opportunities is often through informal channels. This type of information only reaches me because I am regularly on site and actively monitoring the market. Our local focus helps us make informed decisions in the interests of the investors.
Benefit from the Avadis Investment Foundation’s non-cash contribution scheme
The real estate investment groups of the Avadis Investment Foundation stand out for their stable performance, low costs and high-quality locations and properties. Non-cash contributions can be made to any of the vehicles.
