TH Real Estate launches Asia Pacific Cities Fund
TH Real Estate has announced the launch of its open-ended property fund, the Asia Pacific Cities Fund, which will invest in selected “future-proof” cities across the Asia Pacific.
The fund would be aimed at institutional investors and would focus on 17 principal and progressive cities across the region, which would be selected based on a proprietary research filter which aims to identify those that would take advantage of demographic and structural growth, with a particular focus on office, retail, industrial and residential assets.
TH Real Estate’s parent company, TIAA committed an initial co-investment of US$200 million and the fund would have an overall target size of over US$2 billion over a five-year period, with an aim to achieve a long-term target return of seven to 10 per cent per annum.
TH Real Estate’s real estate manager, Louise Kavanagh, said the fund would apply a granular approach to stock selection, with a focus on asset and submarket drivers to complement the cities-based approach and help enhance returns for clients.
“Our Asia Pacific Cities Fund is designed to offer investors access to what we term as future-proof, resilient cities in an exciting growing region. We have a strong heritage in core investments, as well as on-the-ground Asia Pacific investment and asset management capabilities,” she said.
“Our long-term investment approach seeks strong returns through market cycles, underpinned by structural trends for long-term growth, tapping into the Asia Pacific’s growing economic dominance.”
The firm said that six Australian cities featured among the investment destinations and would be targeted by the fund, including Sydney, Melbourne, Brisbane, Canberra, Perth and Adelaide.
Recommended for you
In the latest Meet the Manager profile, Money Management speaks with Michael Skinner, founder and managing director at Blackwattle Investment Partners.
Perpetual has seen AUM rise 6 per cent in the last quarter but the departure of a longstanding JOHCM fund manager led to outflows of $2.2 billion from his strategy.
Global fixed income fund Bentham Global Opportunities has been added to several major platforms, enabling it to be accessed more easily by financial advisers.
Following yesterday’s news about First Sentier Investors closing four investment teams, a second global asset manager has announced it is closing its only dedicated Australian fund.
