Global asset manager AEW has launched its debut pan-European core fund, Eurocore, achieving €410 mln at first close.
Investors that have committed to the Fund include Dutch pension fund Pensioenfonds Metaal en Techniek, advised by MN, alongside a large Swiss public pension fund and other insurers, pension funds, family offices and corporates from France, Germany and Japan.
Planning for the fund began early last year, as PropertyEU revealed in EuroProperty in May 2019. The intention then, before Covid, had been to launch it within a year.
Rob Wilkinson, CEO Europe at AEW, commented: 'The launch of Eurocore is a further demonstration of our commitment to long term investing in Europe and we have deliberately designed the investment strategy of the Fund to anticipate the future of real estate markets.
'AEW is now one of the few firms that is able to offer investors access to open-ended diversified fund strategies across the US, Europe and Asia.'
Inspired by urbanisation trends and the rise of new technology, the fund will primarily focus on mature and growing markets in Europe’s major cities including in France, Germany and Benelux. AEW said that the fund would invest in a 'future-proof' diversified portfolio of core office, logistics and residential assets.
It will also have a strong focus on environmental and social governance (ESG), investing in certified assets with good energy efficiency levels, as well as creating sustainable environments. The Fund will also be aligned to the UN’s sustainable development goals and will participate in GRESB.
AEW's core credentials cover 75% of its €70 bn of assets under management. In Europe, AEW manages over €33 bn of assets, with €27 bn classified as core.
Christina Ofschonka, senior fund manager of Eurocore at AEW, added: 'Megatrends are disrupting our sector and are leading to changing requirements for real estate.
'Our efforts to deploy capital have begun in earnest and we are already in exclusivity on a number of exciting assets across several European markets, with signing due to occur imminently on the initial acquisitions. We are monitoring a healthy pipeline of investments totalling almost €500 mln, as we look to grow the fund’s portfolio of future proof assets.'
