Industriens Pension is the latest pension fund to join the investor group looking to build the Danish Armed Forces' new barracks.

The addition of Industriens Pension is expected to help strengthen the consortium's capacity and experience base.

Initiated by AP Ejendomme (AP Pension), the project is bidding for the task of constructing the barracks as a public-private partnership (PPP), having already received support from fellow pension funds, AkademikerPension and P+.

The amount of capital Industriens Pension and the other parties will be investing is to be finalised at a later date, although the current expectation is that the consortium's total investment framework will end up in the billions.

Commenting on the investment, Industriens Pension property manager, Søren Tang Kristensen, said: "It is an investment that contributes to a socially critical task, where there is a need for both speed and high quality.

"As a pension company, we have good experience with the PPP model, and we see it as a clear strength that we can combine private capital with societal needs.

"It is also an advantage that the consortium represents many Danish employees, and we hope that a long-term commitment can be established that supports the defence's work for many years to come."

Adding to this, AP Pension CEO, Peter Olsson, said: "It makes perfect sense that we, as investors, are contributing to solving a highly topical and urgent societal task with new barracks.

"At the same time, we see a sensible investment basis, and it is very positive that Industriens Pension is joining the circle of investors who share these views."

In addition to the potential social benefit and need for the project, Industriens Pension emphasised the environmental strengths, noting that the project is set to make use of sustainable and efficient construction processes.

In particular, the consortium is intending to use a modularised construction process, which would mean that the buildings are produced in a factory, after which they can be transported to the construction site to be stacked and assembled.

The method makes it possible to build the new barracks quickly and efficiently with a lower CO2 footprint than with traditional concrete construction.

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