Ares Management, L.P. announced the final closings of two real estate funds, both of which were significantly oversubscribed.
The $1.3 billion (€1.098 billion) Ares European Real Estate Fund IV, which will target investments in residential, retail, office and industrial real estate located in the leading European markets including the U.K., Germany, and France, exceeded its initial target of $1 billion (€845 mln). The $824 million (€696 mln) Ares US Real Estate Fund VIII, which will target value-add investments in income-producing property types such as multifamily, industrial, retail, hotel and office in major markets across the United States, exceeded its initial target of $750 million (€634 mln).
The Ares Real Estate Group is comprised of funds focused on opportunistic and value-add investing in both the U.S. and Europe and also includes a global debt investing business. The new funds will seek to continue the strong performance of the predecessor funds and apply the longstanding real estate investing expertise of the Ares Real Estate Group.
“The fact that both successor funds were oversubscribed demonstrates the confidence that existing and new investors of all types have in Ares Management, our respective investment teams as well as the prospects for both opportunistic and value-add real estate strategies,” said Michael Arougheti, President and Senior Partner of Ares Management. “Our investors are also relying on Ares to continue to be able to source proprietary investment opportunities by tapping into the power of our firm-wide platform.”
Source: Ares Management