UK specialist real estate fund manager Moorfield Group has secured £270 mln (€320 mln) of equity commitments at the first close of its fifth value add fund, Moorfield Real Estate Fund V (MREFV).
The capital has been raised from investors based in Europe, Japan and the US. With gearing, the Fund will have initial investable capital of £650 mln.
The fund will employ a value-add risk/return approach, seeking both capital growth and inflation-linked income returns, targeting supply/demand imbalances in the residential-for-rent, student accommodation, healthcare, logistics and self-storage sectors. Moorfield will employ its operational expertise and focus on design, sustainability, technology and community engagement. The fund will be operated in line with Moorfield’s 2030 Net Zero Carbon commitment.
MREFV will fund development, pursue portfolio creation and will reposition existing assets through active asset and operational management to create investments with institutional appeal. The primary geographic focus will be on London and the UK’s largest regional cities, which are benefitting from infrastructure investment, as well as employment and population growth.
Marc Gilbard, CEO of Moorfield Group, commented: ‘Demographic shifts, environmental needs, technological progression and changing customer expectations are all trends disrupting existing real estate and leading to the emergence of new opportunities to create real estate that is fit for purpose. This is true of all the sectors of focus for MREFV and we will be able to draw on our UK focus and considerable experiences, both in asset and operational management, to achieve our goals.’
Charles Ferguson Davie, CIO of Moorfield Group, added: ‘This successful First Close of our fifth value-add Fund reflects the confidence our investors have in our ability to create value-add returns in our selected investment themes whilst investing capital responsibly and in line with our Net Zero Carbon commitment.’
