EQT Real Estate has seured €3.1bn for its latest European value-add logistics strategy.
EQT said the final close for EQT Real Estate Europe Logistics Value Fund V, which surpassed its €2.5bn target, included €3bn in fee-generating assets under management. The predecessor fund, EQT Real Estate Europe Logistics Value Fund IV, closed at €2.2bn in July 2021.
EQT said the latest fundraise was supported by a diverse global group of institutional investors, including pension funds, sovereign wealth funds, asset managers and insurance companies. Investors in the vehicle are based across the Americas, Asia Pacific, the Middle East and Europe, it added.
Fund V, which continues EQT real estate’s strategy of acquiring and developing modern logistics assets across Europe, invests across the full spectrum of logistics real estate, from big box and mid box warehouses to last mile facilities.
Henry Steinberg, global head of EQT Real Estate, said: “We’re incredibly grateful to both our longstanding investors and new partners for their confidence in our platform. Achieving such a successful fundraise is an important milestone for EQT Real Estate and underscores the trust we’ve built over decades and the strength of our global platform, defined by deep local execution and a powerful global perspective.
“The structural tailwinds driving investment in European logistics are as strong as ever, and we’re excited to continue executing our strategy as we seek to deliver modern, future-proofed assets in markets where tenants need them the most.”
John Toukatly, partner and CIO, Europe logistics, said: “The current market environment is presenting some of the most attractive entry pricing we’ve seen in European logistics in nearly a decade. Pricing across the risk spectrum continues to normalise, financing conditions for well-located and well-let assets remain robust, and supply remains constrained across the majority of key submarkets.
“Against this backdrop, EQT Real Estate is well-positioned to unlock meaningful long-term value where our scale and expertise serve as key differentiators.”
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