LONDON, 29 February, 2016 – CBRE Global Investment Partners (GIP) announces the final closing of a fund targeting European co-investment and joint venture strategies, having raised a total of $840 million of equity sourced from six investors.
The Fund, which is closed to new investors, targets a 15 percent net internal rate of return (IRR). It invests in single-asset and portfolio deals sourced through GIP’s network of leading specialist operating partners in transactions not widely available on the open market. This close marks GIP’s fourth value-add fund for the team and its first in Europe.
At final close the fund had committed $231 million of equity to three transactions including a 440,000 square meter French logistics portfolio, two prime high street retail assets in central Madrid which require repositioning, and a two million square foot logistics development site inside the M25, London’s orbital motorway. Further investments totaling $123 million are currently in exclusivity.
Jeremy Plummer, CEO of CBRE Global Investment Partners, said, “We are very pleased to have completed a successful capital raising for our European value-add strategy. The completed investments and those in due diligence follow our two main investment themes of prime logistics and dominant retail, with opportunities to enhance return through repositioning or de-risked development with experienced local operating partners.”
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About CBRE Global Investment Partners
CBRE Global Investment Partners is the independent division of CBRE Global Investors that delivers investment solutions customised for clients’ individual objectives by constructing portfolios using private funds, secondaries, co-investments and joint ventures, partnering with leading operators and fund managers for each strategy. Investments cover the risk spectrum from core to enhanced, can be global or regional in nature, and use a variety of investment vehicles based on clients’ preferences. GIP has $13.6 billion in assets under management* as of December 31, 2015. CBRE Global Investment Partners’ AUM includes investments in programs managed by the direct side of CBRE Global Investors. CBRE Global Investment Partners Limited is authorised and regulated in the United Kingdom by the Financial Conduct Authority (FCA).
About CBRE Global Investors
CBRE Global Investors is a global real estate investment management firm with $89.0 billion in assets under management* as of December 31, 2015. The firm sponsors investment programs across the risk/return spectrum for investors worldwide.
CBRE Global Investors is an independently operated affiliate of CBRE Group, Inc. (NYSE:CBG). It harnesses the research, investment sourcing and other resources of the world’s premier, full-service commercial real estate services and investment company for the benefit of its investors. CBRE Group, Inc. has more than 70,000 employees in more than 400 offices (excluding affiliates) worldwide. For more information about CBRE Global Investors, please visit www.cbreglobalinvestors.com.
*Assets under management (AUM) refers to the fair market value of real estate-related assets with respect to which CBRE Global Investors provides, on a global basis, oversight, investment management services and other advice, and which generally consist of investments in real estate; equity in funds and joint ventures; securities portfolios; operating companies and real estate-related loans. This AUM is intended principally to reflect the extent of CBRE Global Investors’ presence in the global real estate market, and its calculation of AUM may differ from the calculations of other asset managers.