Brookfield's third opportunistic real estate fund reaches $12bn

Related Asset Managers

Brookfield Asset Management’s latest global opportunistic real estate fund has raised more than $12bn (€10.7bn), according to sources familiar with the matter. 

Brookfield Strategic Real Estate Partners Fund III, which has a $14bn hard cap, has also received a $100m commitment from South Carolina Retirement System, the pension fund said in a board meeting document.

As previously reported, New York State Teachers Retirement System, South Dakota Retirement System and State Universities Retirement System of Illinois have all backed the fund.

Late last year, IPE Real Assets reported that Brookfield was hoping to raise $10bn for the fund. Brookfield, which did not comment, raised $9bn for its second opportunity fund in 2016.

Brookfield will be investing in real estate assets, companies, distressed debt and securities. The manager will make a co-investment of around $2.5bn or 25% of the fund’s total commitments.

Half of the fund’s capital will be invested in the US with the remaining capital invested globally. 

According to South Carolina Retirement System, the fund is targeting net returns of 16% and gross returns of 20%.

The pension fund said Brookfield has produced returns that are in the first or second quartile performance of all of its five opportunity funds.

Related images

  • Real Estate

Have your say

You must sign in to make a comment

IPE QUEST

Your first step in manager selection...

IPE Quest is a manager search facility that connects institutional investors and asset managers.

  • QN-2548

    Asset class: Fixed Income, Emerging Market Debt Hard Currency (Active).
    Asset region: Emerging Markets.
    Size: CHF 300-400m.
    Closing date: 2019-07-30.

  • QN-2549

    Asset class: Fixed Income, Emerging Market Debt Hard Currency (Passive or Passive Enhanced).
    Asset region: Emerging Markets.
    Size: CHF 300-700m.
    Closing date: 2019-07-30.

  • QN-2550

    Asset class: Fixed Income, Emerging Market Debt Local Currency (Active).
    Asset region: Emerging Markets.
    Size: CHF 250-350m.
    Closing date: 2019-07-31.

  • QN-2551

    Asset class: Fixed Income, Emerging Market Debt Local Currency (Passive or Passive Enhanced).
    Asset region: Emerging Markets.
    Size: CHF 250-350m.
    Closing date: 2019-07-31.

  • QN-2552

    Asset class: Fixed Income, High Yield (Active).
    Asset region: High Yield (US).
    Size: CHF 500-600m.
    Closing date: 2019-07-29.

  • QN-2553

    Asset class: Fixed Income, High Yield (Passive or Passive Enhanced).
    Asset region: High Yield (US).
    Size: CHF 500-1'100m.
    Closing date: 2019-07-29.

  • QN-2554

    Asset class: Global Real Estate (Equity, unlisted Funds).
    Asset region: World (ex-Switzerland).
    Size: CHF 200 mn (potential for further growth).
    Closing date: 2019-08-07.

  • QN-2555

    Asset class: Real Estate.
    Asset region: European.
    Size: EUR 50 - 100 million.
    Closing date: 2019-07-22.

  • QN-2556

    Asset class: FX Hedging.
    Asset region: Global.
    Size: Mandate size of CHF 1.5 bn.
    Closing date: 2019-08-09.

  • QN-2557

    Asset class: All/large Cap Equities.
    Asset region: China A-shares.
    Size: Unit linked platform (0m USD in initial investment).
    Closing date: 2019-08-01.

Begin Your Search Now