HIH Invest expands use of photovoltaic systems across real estate funds

HIH Invest Real Estate is expanding the rollout of rooftop photovoltaic (PV) systems across properties held in its managed funds. Recent projects with a combined capacity of nearly 28 MWp are currently underway, covering office, logistics, and retail assets across four real estate funds. The company is working with technical advisors and contractors, including key partner TCO Solar, to deliver the installations. Additional projects totaling up to 6.5 MWp are planned for 2025, and new funds are being assessed for PV potential.

“We take a holistic approach to our properties, installing PV systems where it is economically viable,” said Fynn Rotzoll, Transaction Manager Infrastructure at HIH Invest. “This not only generates stable additional income for our investors but also supports the energy transition. Investors benefit from cash flows generated by feeding electricity into the grid, potential increases in property values, and enhanced tenant appeal through access to affordable green electricity.”

HIH Invest is mindful of the tax framework governing investment funds. Specifically, it monitors the “dirty limit,” which ensures that commercial income, such as electricity sales, does not exceed 5% of the fund’s total income — a threshold that protects the fund’s tax status.

“Our investors have responded very positively to the PV rollout,” Rotzoll added. “We take precautions to maintain sufficient buffers and ensure that we stay within the regulatory limits, avoiding any tax disadvantages. We actively monitor this to safeguard fund compliance.”