Real estate fund manager BentallGreenOak has achieved the final close of its third UK secured lending fund, with a total of £1.4bn (€1.6bn) in commitments from more than 25 global institutional investors.

The UK Secured Lending Fund surpassed its initial target of £1bn, making it one of the largest European fundraises for a real estate debt strategy entirely focused on the UK.

Jim Blakemore, managing partner and global head of debt at BentallGreenOak, said: “Given the current challenging market environment, the demand for debt solutions will increase and it will be more important than ever to work with experienced lenders who are capable of navigating the volatility.

”The successful final closing, which exceeded our target, is a testament to our team’s consistency and commitment to performance for our clients.”

The fund is BentallGreenOak’s third fund for UK secured lending and the sixth fund in the firm’s broader European debt strategy, which has so far invested more than $5bn (€4.6bn).

Manja Stueck, managing partner at BentallGreenOak, said: “Non-bank lenders such as ourselves have been well positioned to thrive in the post-pandemic world, where our creativity and flexibility are particularly valuable.

“With a cautious and selective approach we continue to invest and are looking at a healthy pipeline of attractive opportunities across the UK and Europe.”

BentallGreenOak ’s strategy is to provide direct lending across a range of real estate asset classes, including office, logistics, and multifamily property by lending on transitional assets where loans support business plans to create value.

Blakemore added that it will focus on the mid-market but has the ability to provide large-cap loans.

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