Newcore Capital has launched an opportunistic real estate fund targeting social infrastructure, self-storage and accommodation in the UK.
Strategic Situations III, which raised £50m (€58.9m) from investors including family offices, is targeting an internal rate of return of 14-16%.
Newcore Capital said its two previous funds delivered total unleveraged returns of 15% and 18%, respectively.
It has already bought assets for the fund, including a 46,000sqft care home in Oxfordshire and a three-acre development site in south-west London. A garden centre and shopping village near Oxford has also been acquired.
Newcore said it is targeting assets that meet societal needs and are resilient to the “deflationary effect” of technology.
Chris Vane-Tempest, private clients director at Newcore, said: “Despite the uncertain macroeconomic environment, we believe there are attractive investment opportunities, where we can apply our targeted strategy provide and deliver strong returns to our investors”.