Henderson Global Investment expects to attract total investment of EUR 1.5 bn for its Outlet Mall Fund over the next 18 to 24 months, head of investment Mike Sales, told PropertyEU TV at MIPIM.
Henderson Global Investment expects to attract total investment of EUR 1.5 bn for its Outlet Mall Fund over the next 18 to 24 months, head of investment Mike Sales, told PropertyEU TV at MIPIM.
The fund, set up four years ago with McArthur Glenn which operates and manages the outlet centres, recently completed a successful third tranche, bringing total equity so far to EUR 624 mln.
'We will do that primarily through extensions to existing schemes, as we have some very dominant positions, particularly in the Italian market,' Sales said.
Henderson believes the UK market will be one of the most attractive in Europe, on the back of some sharp reductions in value seen over the past six to nine months.
'We still believe there are some real opportunities in core continental European markets, but you have to look a lot harder to find them, and you’ve got to be prepared to do more interesting things to properties, like refurbishment or repositioning,' Sales said.
Henderson is currently very active in Italy and Germany but is looking to invest a lot of money in the UK over the next two years.
For Europe as a whole, the next two years will not be 'pretty', with slow growth and low returns, Sales said. 'But it will be a good time to pick up UK investments at fair or even good value, which will give us good returns once the market begins to pick up two years from now.'
