Patrizia’s seventh pan-European property fund has reached its €750m hard cap fundraising target, an amount which gives the value-add fund €1.8bn of investment firepower.

The amount raised by the value-add TransEuropean (TEP) VII fund exceeds its €500m initial fundraising target.

Patrizia said TEP VII, the largest in the TEP series, is backed by both existing and new institutional investors from the UK, Europe, the US, the Middle East and Asia. 

The predecessor TEP VI fund raised €428.5m in May 2016. The TEP series of funds was first launched in 1992.

TEP VII invest across the office, logistics, residential and retail sectors in both Europe and the UK. It has already committed to a number of investments, primarily in the logistics sector, in markets such as Madrid, Barcelona, Milan and Avignon, and has more than €1bn of dry powder to deploy over the next three years, the manager said.

Paul Hampton, fund chairman of the TEP series at Patrizia, said: “That this fund was over-subscribed with a significant amount of capital committed during the COVID-19 pandemic, is clearly very pleasing and we would like to take this opportunity to thank all of our investors for their support over the past months.”

Hampton said the plan is now to deploy this equity strategically – and to that end, “we feel optimistic that current market conditions should play to our strengths as one of Europe’s largest real estate operating platforms, with experienced deal originators and asset managers employed in each of our pan-European target markets.”

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