National Australia Bank’s (NAB’s) direct asset management business, nabInvest, has acquired a 35 per cent stake in AREA Property Partners – a real estate fund manager based in New York.
This is the third investment nabInvest had made in an overseas fund manager since the business was established in October 2007.
Executive general manager of asset management at MLC and NAB Wealth, Garry Mulcahy, said the acquisition was in keeping with NAB’s wealth strategy, a part of which was to expand its participation in direct asset management through partnerships with selected fund managers.
“Real estate as an asset class continues to attract investor attention and, with limited growth of investment-grade real estate in Australia, increased demand will require offshore investment,” Mulcahy.
Three NAB representatives will join AREA’s eight-member board.
AREA’s management team would remain unchanged and the business will continue to be led by chairman William Mack and global chief executive officer, Lee Neibart.
