Global real assets manager Hines has reached a third of its €1.5bn target for its fourth European value-add real estate fund at first close.
Hines said it has secured an initial €500m for Hines European Real Estate Partners IV (HEREP IV), backed by new and existing institutional investors, including sovereign wealth, pension and insurance funds, across Europe, the Americas, Asia-Pacific and the Middle East.
Hines surpassed its €1.5bn target for the previous fund in the series, HEREP III, securing over €1.6bn in equity commitments in 2023.
The manager said HEREP IV’s capital deployment is already underway across key markets, targeting a pipeline in the living, industrial, retail, prime office and alternative sectors.
Alfonso Munk, global co-head of investment management at Hines, said the successful first close of HEREP IV reflects continued investor interest in the Hines global platform, its European strategy, and its ability to create value across market cycles.
Munk added: “Europe is entering a more attractive deployment environment, with improving capital markets conditions and supply constraints creating opportunities for disciplined investors with conviction and local insight. That is where Hines could have a clear advantage. Deployment is already underway, supported by an active pipeline that includes off-market opportunities sourced by our teams across Europe.
“We believe this vintage offers a strong combination of more attractive entry pricing and long-term structural demand. Our focus is on assets where active management and local execution can unlock durable value.”
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