Pictet Alternative Advisors (PAA) has raised a second fund to make co-investments into real estate opportunities around the world.
A final close of Monte Rosa Properties II has taken place, ending on $362 mln (€335 mln) as the follow up to fund I by the same name.
Geneva-based Pictet has managed to beat its $300 mln target having launched product marketing in September 2021.
Like its predecessor, the strategy is global private real estate markets seeking upside potential in niche and targeted sectors. With this fund size, it is expected to make 15-20 co-investments, with the possibility to add secondary transactions.
Return generation will focus mostly on capital appreciation and value creation of value-add/opportunistic profile, with a minor contribution from the income-based component, the company explained.
It further said investments would focus mainly on sectors driven by consumer needs, such as logistics, data centres and residential, and the transition towards a more sustainable property market as well as the renovation to more modern buildings such as offices. Further, the manager will target distress and dislocation opportunities emerging from the current macroeconomic landscape.
Laurent Gabert, head of real estate, leads the team putting the money to work.
He said: ‘The recent geopolitical and economic shocks have destabilised markets, fuelling volatility and investors’ uncertainty. Paired with the imperative transition towards a more sustainable world and the increasing need for flexible and agile lifestyles, the current landscape has opened up for interesting investment opportunities in global property markets where the value creation and capital appreciation are at the core of return generation.’
