CBRE Global Investment Partners (GIP) has closed a fund targeting European co-investment and joint venture strategies, having raised a total of $840m (€771m) of equity sourced from six investors.
The fund, which is closed to new investors, targets a 15% 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 $231m (€212.1m) of equity to three transactions including a 440,000m² French logistics portfolio, two prime high street retail assets in central Madrid which require repositioning, and a 2 million ft² (185,800m²) logistics development site inside the M25 London’s orbital motorway. Further investments totaling $123m (€112.9m) are currently in exclusivity.
Jeremy Plummer, CEO, 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.”
