ASR REIM has launched a Dutch retail fund and hired CB Richard Ellis to help raise €300m of equity by the end of the year. The manager, a subsidiary of Dutch insurance group ASR, and CBRE will target Dutch institutions and international investors; ASR will remain the cornerstone investor.
The closed-ended, mutual fund, with an indefinite life, offers investors instant access o a €1.1bn seed portfolio of 210 Dutch properties. It has eight investments worth €280m in the pipeline – all retail developments set for completion in the next five years. “It will be an all-equity fund, but with potential to gear up to 30% for working capital or redemptions,” said Bas Tiemstra, managing director of ASR REIM Commercial Real Estate.
The fund’s target annual total return is 7-9%, non-leveraged, with distribution of 5%. Mark Evans, CBRE head of equity placement, said investors could “gain instant exposure to a portfolio with a strong track record of income and capital growth over a long period”, with added upside from developments and asset management.
Hamburg-based retail developer ECE has launched its first pan-European retail fund, via its new fund management company, ECE Real Estate Partners. The geared fund, which has raised €740m and is expected to reach an €800m final closing soon, will buy assets ECE will manage. Its investors include Singapore wealth fund GIC, pension funds and insurers. Meanwhile, Union Invest-ments plans to boost the €300m raised for its pan-European UII Shopping Nr 1 fund to €750m.