TH Real Estate is to launch a segregated account focused on German retail warehouses with an initial equity of €250 mln.
TH Real Estate is to launch a segregated account focused on German retail warehouses with an initial equity of €250 mln.
The new fund will take the form of an open-ended real estate special AIF, administered via the platform of IntReal. TH Real Estate said the first asset acquisition was already in the pipeline with a target completion date of Q4 2015.
The fund will focus on investment in core and core-plus retail warehouses with a supermarket as anchor tenant, on behalf of a German insurance company.
TH Real Estate said the new mandate follows the success of its Core German Retail Fund, which launched in April 2014 with a target investment volume of €400 mln. The fund invests in core and core-plus German retail including retail parks, hybrid malls and inner city shopping centres.
The company’s German spezialfonds franchise comprises three funds and one mandate, with a combined AUM of around €800 mln.
Thilo Wagner, director of investment Germany, said: 'We believe it is an excellent time to invest in retail and anticipate strong prospects for this account. The German retail sector continues to attract interest from a growing number of international investors, who favour retail for its long-term defensive qualities and asset management potential, thereby putting pressure on pricing for the best assets.'
