VTB Group's investment arm VTB Capital and Deutsche Bank's commercial property unit have joined forces to launch a EUR 300 mln fund to invest in Russian real estate opportunities. The business partners have announced the first closing of VTBC-DB Real Estate Partners I, a co-sponsored private equity vehicle which will focus on investment in prime real estate in Moscow, St. Petersburg, and other major Russian cities.

VTB Group's investment arm VTB Capital and Deutsche Bank's commercial property unit have joined forces to launch a EUR 300 mln fund to invest in Russian real estate opportunities. The business partners have announced the first closing of VTBC-DB Real Estate Partners I, a co-sponsored private equity vehicle which will focus on investment in prime real estate in Moscow, St. Petersburg, and other major Russian cities.

Scandinavian pension funds, including Ilmarinen and Etera, are among the first limited partner investors in the fund. The new vehicle will take advantage of the expertise of Finland's leading project management and construction company, SRV, that joins the fund as a limited partner and will also provide project management and construction services to ensure development procedures are in accordance with the highest international standards.

'This demonstrates the gained confidence of international investors in the region and in the sector,' said Yuri Soloviev, President and Global CEO, VTB Capital.