Tristan Capital Partners, which set out to raise €1.5bn for its latest European opportunity fund, has raised €1.7bn at close following an oversubscription.
The manager said the European Property Investors Special Opportunities 5 (EPISO 5) fund was almost 100% oversubscribed, with around €1.5bn of unfulfilled demand.
Tristan said EPISO 5 has a total of 39 investors including both existing and new clients, with a repeat investor rate of approximately 60%.
Clients are predominantly from the pensions, family office and foundations, insurance and sovereign funds sectors.
Over 55% of EPISO 5 clients are from Europe, Asia and the Middle East and 45% are from the US, the manager said.
IPE Real Assets reported in August last year that Tristan had started raising capital for EPISO 5.
Its predecessor raised €1.5bn in four months, which Tristan Capital said at the time was its fastest ever fundraise.
Sasha Silver, the managing director and head of client development at Tristan, said: “We made a conscious pre-offering decision to try and maintain the fund at the same size as EPISO 4 despite a pipeline of demand that considerably exceeded the amount we raised.
“We are proud that the majority of capital we have raised still comes from a group of loyal clients, a number of which have supported Tristan since day one.”
EPISO 5 is Tristan’s tenth fund and its mandate is to generate a 12% to 14% triple net annual return by investing in Western and Central European real estate markets across the office, logistics, retail and residential sectors.
Earlier this month, EPISO 5 made its first investment together with Timeless Investments, with the acquisition of €54m office complex in Amsterdam.
Ric Lewis, the Co-CEO and chairman of Tristan, said: “We’re still optimistic about the outlook for European real estate markets but we’ve invested and managed capital through enough cycles to know that this is the point where keeping one’s discipline is wise.
“Our focus now is on doing our best to build an ‘all-weather’ portfolio with lower asset-level risk, less exposure to late stage markets and conservative financing, all of which will help move our strategy toward resiliency in this maturing market cycle.”
