Pimco Prime Steps Up Strategy Targeting Out-of-Date Assets (1)

Pimco Prime Real Estate is accelerating its strategy to renovate buildings in major cities, with a view to making them more suited to a world increasingly shaped by extreme weather.

The unit of Pacific Investment Management Co., which manages about $85 billion for its parent Allianz Group, is stepping up the number of projects in the renovation pipeline and exploring acquiring new properties after getting fresh capital from Allianz.

“We think this could be attractive to clients from a commercial perspective,” said Raphael Mertens, Pimco Prime Real Estate’s chief sustainability officer. There are “opportunities in buying older ...