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.
- Brookfield Asset Management
- Capital Raising
- Investment Strategies
- Investment Vehicles
- New York State Teachers Retirement System
- North American Investors
- Pension Funds
- Real Estate
- South Carolina Retirement System
- South Dakota Retirement System
- State Universities Retirement System of Illinois
- US Investors