Greystar’s Europe residential vehicle attracts over 70% of €1bn target capital

Greystar Real Estate Partners’ European investment arm has raised €725m from a diverse group of global institutional investors to invest in value-add residential assets across the region.

Greystar Europe Investment Management said it has closed €725m in equity commitments into its pan-European value-add vehicle.

The fund’s backers include investors from continental Europe, North America and Asia-Pacific including both new and existing Greystar investors, the manager said.

Greystar Europe said the pan-European residential vehicle, which targets €1bn of equity commitments, will focus on the acquisition and select development of rental residential assets, including multifamily and purpose-built student accommodation.

The vehicle has seed investments in the UK, Ireland and the Netherlands with an active pipeline of investments across its target cities.

Mark Allnutt, a senior managing director - Europe, Greystar, said: “This opportunity is the culmination of more than seven years of hard work establishing the only vertically integrated pan-European residential platform, which means we have the capabilities to invest, develop and operate assets under one roof.

“We are therefore uniquely placed to offer simplicity and scale to investors seeking European residential exposure. Further, we are excited to take advantage of a market where demographic trends combined with the structural undersupply of housing is driving demand for high-quality rental properties across Europe.”

Wes Fuller, executive managing director – global investment, Greystar, said the flagship strategy in Europe follows a successful track record of European value-add investments and follows the formula of Greystar’s long history of value-add acquisition strategies in the US.

“We are thrilled that existing and new capital partners have supported Greystar with this closing which is a testament to the market opportunity, our team and the demand for residential real estate globally.”

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