A unit of Austrian real estate company Signa Holding GmbH won a tender to manage a newly launched fund that aims to develop a portfolio of residential and commercial assets in Austria with a total volume of approximately €1 billion.

SIGNA Financial Services AG will invest for Germany's Bayerische Versorgungskammer through the fund launched by Universal-Investment. The mandate also includes the long-term management of the assets.

The fund will initially acquire four under-development residential projects totaling 56,000 square meters and more than 900 units in Vienna from Signa's portfolio.

The 5in22 housing complex in Donaustadt will be the first property to be transferred to the fund, expected to change hands in October. Completion of the other three developments is slated for 2020, with the Donaumarina 1 and 2 projects to be handed over in mid-2020. The initial portfolio will include the Wohnen am Schweizergarten high-rise apartment block near the new Vienna Central Station.

The fund will also look to target other residential and commercial assets, especially office buildings and retail properties.