US financial services group TIAA-CREF has taken full control of its TIAA Henderson Real Estate joint venture with Henderson Global Investors as part of plans to accelerate the growth of its global real estate platform.

US financial services group TIAA-CREF has taken full control of its TIAA Henderson Real Estate joint venture with Henderson Global Investors as part of plans to accelerate the growth of its global real estate platform.

TIAA-CREF has acquired the remaining 40% stake it did not already own in TIAA Henderson Real Estate for £80 mln (€112 mln).

The acquisition increases TIAA-CREF’s ownership stake in the joint venture established in April 2014 from 60% to 100%.

TH Real Estate is a global real estate investment management company that pursues core and value-add investment in all major sectors of commercial real estate. It has $26 bn in assets under management, including assets in Europe, Asia and North America. Since its launch, TH Real Estate has carried out 67 acquisitions worth $3.7 bn and raised $1.3 bn of new equity mandates while securing $3.6 bn in capital recommitments from closed-end fund investors.

From now on, the firm will operate as a stand-alone subsidiary within TIAA-CREF’s Asset Management multi-boutique platform. TH Real Estate will have independent executive leadership and investment teams.

Real estate has been a key part of TIAA-CREF’s investment platform since 1934 and represents $82 bn in assets under management, as of March 31, 2015.

In a statement on Tuesday, TIAA-CREF said 'direct access to real estate strategies offers individual and institutional investors access to attractive long-term investment opportunities'.

'This investment is an exciting step in our long-term plan to expand our asset management business,' said Robert G. Leary, executive vice president and president of asset management at TIAA-CREF. 'TH Real Estate offers our clients expanded investment opportunities through a flexible, well-capitalised and integrated global platform.'

Andrew Formica, CEO of Henderson, said: 'Our decision to sell our 40% holding in TH Real Estate will give them the best possible opportunity to grow their business. We will retain a strong commercial relationship with TH Real Estate, as they will continue to sub-advise our highly successful Henderson UK Property OEIC.'

The transaction is expected to close in the second quarter of 2015, pending regulatory approvals and customary closing conditions.