BlackRock Real Assets’ newly launched open-ended Eurozone real estate fund has received €280m in commitments at first close, from investors across the region.
Eurozone Core Property Fund will target income-producing investments and will invest primarily in offices, retail, and logistics, with selective exposure to the alternatives sector.
The investment manager said the fund will implement a multi-strategy approach targeting reversionary assets, low vacancy assets, and assets in transitional markets, to seek to capitalise on emerging trends.
Ian Williamson, a director and portfolio manager of the fund at BlackRock Real Assets, said: “Eurozone commercial real estate is in the early stages of the occupational cycle, especially when compared to previous cycles, and we believe that improving economic conditions will continue to drive property performance across the region.
“Our team has significant experience in commercial real estate across the continent and will benefit from the investment sourcing capabilities of our on-the-ground teams in all our target markets. Our core investment approach is looking to provide a stable income return to investors from secure and enhanced income.”
Marcus Sperber, a managing director and the global head of real estate at BlackRock Real Assets, said: “BlackRock’s global rebalancing survey suggests that institutional investors are rebalancing their portfolios, and shifting allocations to more illiquid assets, in particular, real assets, which aim to generate high potential returns and can also generate income.
“Given our experience and track record in global core real estate in the US, UK, Asia, and now Europe, BlackRock Real Assets is well positioned to source attractive investment opportunities that can help our clients achieve their financial goals.”