CBRE Global Investors has announced the final closing of CBRE Asia Value Partners IV with equity commitments totalling $1 bn (€860 mln) from 21 institutional investors in the Americas, Asia Pacific and EMEA.
Asia Value Partners IV, which is now closed to new investors, is a continuation and evolution of the firm’s regional value-add investment programs. The fund’s investment strategy is to create core logistics assets through value-add investment initiatives or de-risked development in the most liquid markets in Asia Pacific as well as selective investments in other sectors and opportunities which offer compelling income returns or mispricing.
Asia Value Partners IV and its co-investment vehicles are expected to have total purchasing power of more than $2.5 bn, including leverage. To date, the investment team has acquired or committed to $1.1 bnof real estate through five investments, primarily in logistics assets in Japan, China and South Korea.
'Forecasts of private consumption growth in Asia Pacific are notably higher than in other major regions,' said Adrian Baker, Chief Investment Officer-Asia Pacific, CBRE Global Investors. 'Additionally Asia Pacific e-commerce sales as a percentage of total retail sales are the highest of all major regions and are expected to continue to grow at a faster pace. These factors support the case for investment in modern logistics facilities across the region.'
'We expect to enhance value through a disciplined, cycle-aware investment and operations strategy,' said Richard Price, Chief Executive Officer-Asia Pacific, CBRE Global Investors. 'We have already made substantial progress in the execution of our strategy and thank our investor partners and their consultants for the confidence they have placed in us through their commitments to this fund.'
Currently CBRE Global Investors has $10 bn in AUM invested in the Asia Pacific markets in both public market real estate equity and core and value-added private equity real estate funds and separate accounts.
