On 19 December 2023, SEB ImmoInvest will distribute EUR 0.15 per unit to investors. This corresponds to a total of around EUR 17.5 million. With the 22nd distribution since the announcement of the dissolution of the fund, the amount paid out during the liquidation period totals EUR 5.04 billion, or around 84.4% of the fund assets at the time of the termination of the management mandate in May 2012.

The payout in December 2023 is the last opportunity to distribute freely available liquidity without tax deduction before the changeover to investment taxation. In order to take into account the situation of funds in liquidation, a special provision was included in the Investment Tax Act that exempts distributions of assets from tax for a maximum period of five years from the transfer to the custodian bank, from 1 January 2018 at the earliest. The capital gains tax levied on distributions from an investment fund during its wind-up phase must be refunded if the distributions represent capital repayments.

According to the current wording of the law, the capital gains tax paid on distributions is no longer refunded after the end of the five-year tax settlement phase. The special regulation applies to SEB ImmoInvest until 31 December 2023.

SEB ImmoInvest´s distribution is based on the calculations for tax and warranty risks, which expire at the end of 2023. The necessary risk provisioning was reduced accordingly by reversing provisions, freeing up liquidity that is now being distributed to investors.

The fund no longer holds any properties and therefore cannot generate any rental income. It currently still holds one company that will remain in existence until all warranty obligations from the respective sales have expired. As risks decline over time and corresponding reserves can be released, further distributions to investors will be carried out.

Subject to, among other things, the reassessment of the remaining risks, the aim is to finally liquidate SEB ImmoInvest in the near future. We will provide information on the exact timing and process at www.savillsim-publikumsfonds.de and with the annual liquidation report.

The respective investor’s custodian will need time to process the pay-out so that the distributed amount will not be credited until a few bank working days after 19 December 2023. The pay-out has a mathematical effect on the unit value of the fund in the value of the distributed amount.