LaSalle Investment Management has so far raised over a billion dollars for its latest Asia-Pacific opportunistic real estate fund, according to an investor.
Arkansas Teacher Retirement System disclosed in a meeting document that it has approved a $50m (€43m) commitment to LaSalle Asia Opportunity (LAO) VI, adding that the fund had raised $1.06bn (€922.7m). The predecessor fund raised $1.15bn at its close in April 2018.
The value-add/opportunistic fund expects to raise $1.5bn in total to target repositioning, new development and distressed real estate investment opportunities in Japan, China, Australia, South Korea and Singapore.
The fund will target investments that can generate a net internal rate of return of 18% with a maximum loan-to-value of 70%.
It will be investing in a mixture of office, retail, logistics, residential and hotels.
Arkansas Teacher said the fund’s manager is in talks to invest $48m of equity as part of an 80/20 joint venture with ABM to develop 128,037sqm of logistics space in greater Beijing.
LaSalle is also investing $73m for a 70% equity investment with a development partner for the construction of a 17,656sqm office project in Singapore.
LaSalle did not respond to a request for comment.
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