PGIM Real Estate’s European Core Plus strategy has raised over $400 mln (€372 mln) less than six months after the inception of the new vehicle, according to details released by the firm.
Jocelyn de Verdelon, senior portfolio manager of the European Core Plus strategy, said: 'In this high inflation environment and amid market dislocations, investors increasingly want strategies that are able to distribute sustainable income and generate alpha.
'Our European Core Plus strategy aims to do just that, by focusing on high conviction investment themes across the true core-plus universe to deliver growing income combined with value creation.
'Our experience in alpha-driven strategies provides a strong platform to create another high-quality vehicle that aims to capture compelling investment opportunities in Europe.'
According to PGIM, the strategy targets Europe’s most liquid markets, allocating to sectors benefiting from structural trends driven by digitalisation, changing demographics and decarbonisation.
It will invest in sectors such as last mile logistics; residential including rental, senior and student housing; and new generations of office. The strategy will also target tactical opportunities in mispriced sectors, such as hotels or self-storage.
With local expertise across asset management and transactions in six countries, the strategy is managed by a pan-European team, led by Verdelon, senior portfolio manager and head of transactions, Europe and senior portfolio manager, Tobias Waldschmidt.
This strategy is key to PGIM Real Estate’s European core plus offering, through which the team has invested more than €1.8 bn in previous vehicles, including two closed end funds; PGIM Real Estate Pan European Real Estate Fund (PEREF) I and II, both closed to new investors.
