Nuveen’s newly created cities real estate investment trust (REIT) has diversified its portfolio with new investments in the US and Europe.

Nuveen Global Cities REIT has bought two office buildings, known as Defoor Hills, in Atlanta, Georgia and a newly constructed 246-unit apartment complex, known as Tacara Steiner Ranch, in Austin, Texas for an undisclosed sum.

Richard Kimble, the regional head of portfolio management for Nuveen Global Cities REIT, said: “These properties will make an excellent addition to our holdings as we seek to create a well-diversified portfolio with the potential to deliver an attractive and stable distribution yield,”

Including these latest acquisitions, the fund now owns five distinct properties in the US.

The fund has also funded an investment a pan-European open-ended diversified fund managed by TH Real Estate. The investment will provide the fund with immediate diversification and scale by investing in a €1.4B pan-European portfolio.

TH Real Estate’s European Cities Partnership holds retail, offices and logistics assets across European cities. 

Nuveen Global Cities REIT, which was set up last year, was “declared effective” by the US Securities and Exchange Commission in March this year.

The fund was set up to invest primarily in stabilised, income-oriented commercial real estate located in and around leading cities.

The SEC approval meant, the fund could proceed with its initial public offering to raise up to $5bn (€4.32bn) by offering shares on a ”continuous basis”.

Nuveen Global Cities REIT is sponsored by Nuveen, the investment management arm of US financial services group TIAA, and externally advised by its affiliate, TH Real Estate Global Cities Advisors, an affiliate of TH Real Estate.