Pramerica Real Estate Investors announced today that it received €480 million in capital commitments for the first close of its Asia Property Fund (ASPF) III, exceeding the initial fundraising target of €400 million. ASPF III, which will hold a final close in early 2016, is the third in a series of real estate funds investing in the Asia Pacific region across the risk spectrum. The capital raise included commitments from German and Middle Eastern institutional investors.
Pramerica Real Estate Investors is the real estate investment management and advisory business of Prudential Financial, Inc. (NYSE: PRU), which is headquartered in the United States, and operates as Prudential Real Estate Investors in the Americas, Korea and Japan.
“We believe the strong participation for ASPF III’s first close – surpassing our initial fundraising target – reflects our clients’ confidence in Pramerica’s on-the-ground Asia Pacific investment capabilities and our ability to deliver attractive risk-adjusted returns to meet their investment objectives,” said Benett Theseira, head of Asia Pacific for Pramerica.
ASPF III will invest in Asia Pacific real estate, including office, retail, residential and logistics, in both mature and emerging markets. Target markets include Australia, China, Japan, Malaysia, Singapore, Hong Kong and South Korea. The fund will leverage the resources of Pramerica’s Asia Pacific platform, with approximately 80 professionals located in Singapore, Tokyo, Seoul, Hong Kong and Sydney.
“The maturing markets in Asia Pacific are offering the opportunity to add value through quality asset management, innovation and strategic partnerships,” added Theseira. “We are pleased to provide investors with a new opportunity to access a range of core, value-add and select opportunistic real estate investments to create a well-balanced portfolio that has the flexibility to adjust to the dynamic Asia Pacific markets.”
Pramerica has been investing in Asia Pacific since 1994 and has $5.3 billion in assets under management as of March 31, 2015. ASPF II closed in 2007 with approximately €949 million in commitments and ASPF I closed in 2003 with approximately €655 million in commitments. Combined, ASPF I and ASPF II have acquired or developed more than €3.6 billion in gross assets across 56 transactions. Pramerica Real Estate Investors is the global real estate investment business of Prudential Financial, Inc. (NYSE: PRU).
