Zurich, 21 July 2021 – To address the growing need for holistic real estate solutions in Switzerland, Julius Baer will create a new unit, fully dedicated to this important asset class. It will extend its current offering from mortgage financing to the entire life cycle of real estate, including advisory, brokerage, financing and structuring, as well as related services such as investment management, valuation and specialised property management.
Julius Baer will provide these services together with KMP, of which it will acquire a majority stake of 83%. Price details of the transaction with KMP, which is profitable, were not disclosed; however the acquisition will not have a material impact on Julius Baer’s capital ratios. The new subsidiary will constitute an integral part of Julius Baer’s real estate offering, while acting as a strategic partner in the fields of real estate valuation, property management and commercial as well as residential real estate brokerage. It will do so using both traditional and digital channels, such as its proprietary platform Maklando. In residential brokerage, KMP’s strong footprint in the greater Zurich area shall be expanded to the French-speaking part of Switzerland and coverage is also to be established in Ticino. Julius Baer will continue to collaborate with third-party real estate providers and also ensure an open-architecture approach going forward.
As of Q4, Dominik Weber, currently the majority owner and CEO of KMP, will build Julius Baer’s new Real Estate unit. He brings longstanding and extensive experience in the various fields of real estate, from investment management to commercial brokerage, especially in Switzerland but also abroad. He will be instrumental in developing Julius Baer’s real estate offering, while remaining a minority owner and acting as chairman of KMP.
Dieter Enkelmann, Group CFO and Head Finance & Markets Julius Baer, commented: “I am delighted that we will be able to provide Swiss and international clients with a state-of-the-art offering for their real estate investment needs in Switzerland. In Dominik Weber, I am convinced that we have appointed the right professional to run and develop our services jointly with the KMP team, the many relationship managers involved, and the subject matter experts in our bank. The new offering will bring benefits to all stakeholders involved, above all to the clients.”
Dominik Weber, CEO of KMP and designated Head Real Estate Advisory of Julius Baer, said: “I am proud that we have found a new partner in Julius Baer that will take KMP to the next level. I am equally excited to build a strong real estate franchise within Julius Baer, the leading independent Swiss wealth management group. This step builds on our decades of experience in the Swiss real estate sector and our vast network, and it gives me personally a new challenge that is mutually beneficial for both Julius Baer and KMP.”