Thursday, July 25, 2013

Prudential Co-Parent, Brookfield, Completes Fundraising for $4.4B Global Real Estate Fund

CRE Powerhouse Brookfield Asset Management, which, with Berkshire Hathaway, owns HSF Affiliates LLC, operator of Prudential Real Estate, announced it has completed fundraising for a $4.4 billion global real-estate fund, one of the biggest property funds raised since the economic crisis.

It marks a new direction for the giant asset manager, according to The Wall Street Journal.

The fund's amount was well ahead of the firm's official target of $3.5 billion, and even ahead of the Brookfield's internal goal of reaching $4 billion, fund officials said. The fund looks to buy individual buildings and property-related companies, primarily in the U.S. and Western Europe. Fund officials say they also invest in Canada and Brazil and other markets, and have made significant investments in Australia. The new global fund already has invested about $1.1 billion, including paying about £210 million ($322.6 million) in June to acquire EZW Gazeley, a U.K.-based logistics firm with industrial properties throughout Western Europe. The fund also invested about $500 million last year to acquire Australia's Thakral Holdings Group, which owns hotels, office-development rights and other real estate in that country.

Things are looking up. I'm proud to be associated with two such influential companies as Brookfield Asset Management and Berkshire Hathaway.

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