Portugal's Sonae Sierra announced on Wednesday that it has launched its second shopping centre investment fund, Sierra Portugal Fund (SPF), with a total equity of EUR 300mln. The fund is seeded with eight Portuguese shopping centres, representing a total market value of over EUR 425mln. Sonae Sierra said the fund will also benefits from a pipeline of three projects currently being developed in Portugal. These projects have an estimated value on completion of EUR 235mln.
Portugal's Sonae Sierra announced on Wednesday that it has launched its second shopping centre investment fund, Sierra Portugal Fund (SPF), with a total equity of EUR 300mln. The fund is seeded with eight Portuguese shopping centres, representing a total market value of over EUR 425mln. Sonae Sierra said the fund will also benefits from a pipeline of three projects currently being developed in Portugal. These projects have an estimated value on completion of EUR 235mln.
Three reference investors have joined Sonae Sierra in the initial closing of the fund with combined commitments of EUR 120mln. The investors are the Portuguese Local Government Pensions Institution, a Finnish pension fund for municipal workers and Continental European Fund I and Continental European Fund II, two real estate funds of funds managed by Schroder Investment Management. Further closings are planned later in the year.
The fund's main objective is to provide investors with capital growth and income return through the investment in a portfolio of high-quality Portuguese shopping and leisure centres. This transaction supports Sonae Sierra’s goal of increasing its asset management activity, while leveraging its investments through-long term partnerships.
