LaSalle raises over US$1.1 bil for Asia fund, exceeds US$750 mil target

/ EdgeProp
April 20, 2018 1:11 PM SGT
LaSalle Investment Management, a real-estate investment firm, has raised more than US$1.1 billion ($1.4 billion) in equity for its Asia fund, exceeding its initial US$750 million target.
So far, the fund, LAO V, has invested about 37% of its capital. It owns a diversified portfolio of office, retail, hospitality and logistics properties in Singapore and Asian cities such as Tokyo, Osaka, Nagoya, Shanghai and Hangzhou.
Commercial redevelopment at 2 Serangoon Road, Singapore, acquired on behalf of LAO V in 2016 (Credit: LaSalle)
LAO V is the fifth in LaSalle’s series of closed-end funds in Asia and has secured commitments of US$1.15 billion. The total amount was obtained from 20 external institutional investors from Asia, Europe, the Middle East and the US.
The fund looks for mispriced assets, taking advantage of repositioning and redevelopment opportunities in Singapore and economies such as Australia, China, Hong Kong, Japan and Korea. The capital raised will enable it to buy about US$3.3 billion worth of assets.
“Investors are drawn to this region for its healthy market fundamentals, risk-return diversification opportunities afforded by varying market cycles, and the rising demand for core assets,” says Mark Gabbay, CEO and chief investment officer of LaSalle Asia Pacific.