Urban Partners completed the third close for its Nrep Income+ open-ended fund, raising €263 mln and taking total equity raised to date to €1.85 bn.
The closing was supported by global institutional investors comprising pension funds and insurance companies, a number of whom are advised by CBRE Investment Management's Indirect Private Real Estate Team.
Nrep Income+ is mainly focused on modern logistics facilities, residential for rent, and care homes in the Nordics, in line with Nrep's decarbonisation agenda. As the largest ever Nordic core-plus fund, it provides investors with access to a high-quality and diversified portfolio of real estate assets delivering robust income in a region that benefits from increasing population growth, urbanization, GDP growth, and strong public finances.
Rune Kock, CEO of Nrep, said: ‘Nrep Income+ is well-positioned to capture opportunities arising from positive macroeconomic trends in the Nordics, particularly as we see markets stabilizing following the turmoil of the last few years. Our qualified €380 million pipeline confirms that our strategies are supported by strong demand and market fundamentals. Combined with our focus on transforming high-emitting buildings while leveraging the team's expertise in understanding tenants' needs, we see great potential for both decarbonisation and making a real difference in people's lives.’
Claus Mathisen, CEO of Urban Partners, added: ‘The successful third closing of Nrep Income+ is a testament to investor trust in our market-leading approach to generating value and driving derisked income through our operating platforms and portfolio management. The fund's growth is being supported by an increasing number of investors who share our perspective on the attractive backdrop for investments in structurally supported, inflation-protected, and non-cyclical segments. This, along with the fund's long-term outlook and low financing levels, enables us to capitalize on attractive opportunities in the market. Investing in income-generating assets to tackle pressing challenges in sectors with rising demand is closely aligned with Urban Partners' value-based investment philosophy to solve challenges across the urban ecosystem.’
Since the fund's inception in 2020, Nrep has committed to nearly 100 assets across 36 transactions. Highlights include the acquisition of 13 elderly care homes for around €200 mln in Sweden and the off-market acquisition of the Nordic Swan Ecolabel-certified residential project in Stockholm.
Towards the end of the year, Urban Partners is looking to open up for further fundraising for Nrep Income+. Demand from investors is evident, as proved by the recent closing of NSF V raising €3.65 bn, making it the largest ever European value-add real estate fund to date.
