The real estate portfolio of the pension fund PGGM has made a total return of 8.6% in 2003. That is 1.5% above the WM benchmark, but below its results in 2002 (9.1%). This is partly because of the downfall of the office markets. This also caused the size of the real estate portfolio to fall with 10% to € 6.3 billion.
The real estate portfolio now has an importance of 11% within the total investment portfolio of € 52.9 billion. The relative importance of real estate in the total investment portfolio of PGGM has declined because of the falling share quotations and because PGGM sold interests in real estate funds. The size of the real estate portfolio declined from € 7.0 billion at the end of 2002 to € 6.3 billion at the end of 2003. The weight in the total investment portfolio declined to 11.9% and fell below the set goal in the investment mix of 13%. The two largest real estate investments are Rodamco Europe with an interest of € 1.08 billion (17.1% of PGGM’s total real estate portfolio) and Amvest with € 714 million (11.4% of the total).