Nordic real estate fund manager NREP has raised a further €608m from institutional investors for its open-ended core-plus Nordic real estate fund NREP Income Plus (NIP), bringing total commitments to €1.6bn.

NREP said two-thirds of the latest round of commitments to the fund - which aims for long-term investments in modern logistics facilities, middle-income residential, offices and care homes - comprised top-ups from existing investors, with the rest coming from new institutions.

Institutional investors putting money into the fund are understood to include Novo Holdings, the investment company of The Novo Nordisk Foundation, and Dutch pension investor Bouwinvest.

CBRE Investment Management has also invested in NIP on behalf of clients via its indirect private real estate platform, which advises limited partners on making investments into third party funds, NREP said.

Philippe Brand, portfolio manager at CBRE Investment Management, said: “NREP’s pledge to become carbon neutral by 2028 not only chimes well with our own ambitious sustainability goals but will also help to deliver resilient financial performance.”

NREP said it is aiming to raise between €500m and €750m of additional capital by the end of 2022, which would bring total funds raised for the strategy to €2.5bn.

Claus Mathisen, chief executive officer of NREP, said: “Supported by enduring consumer trends and demographic developments, NIP allows us to extend our long-term approach even further to generate more income-orientated value.”

NREP said it had so far committed almost €1bn to 20 deals for NIP, which it said was the largest ever core-plus Nordic fund,

Recent purchases include the classic red-brick Leipätehdas building in Helsinki dating back to 1923, which has 13,500sqm of leasable space and has recently been upgraded, now serving as flexible office space, according to NREP.

Meanwhile in Odense, the firm said, it had bought a 46,000sqm residential portfolio of 567 homes spread across 23 properties for the income fund, with plans for a programme of improvements.

In March 2021, NREP announced it had raised €900m for the perpetual fund.