Pfäffikon [July 14, 2020] - Club Estate, a leading real estate co-investment boutique for professional investors, today announced the successful launch of the Club Estate (Lux) Prime Selection – Global Property Co-Investment Fund.
Dr. Marcus Sasse, Managing Director of Club Estate AG, the fund’s advisor, said: We are delighted about the successful launch of this unique fund and the acquisition of the first asset. Real estate has always been and will remain a local business with competitive advantages for players with local expertise. From an investor’s point of view, it therefore makes sense to invest alongside an investment manager who has on-the-ground expertise and a local track record. In our systematic investment process, we focus on deal characteristics, alignment of interests and fee transparency. Our thorough due diligence for each manager and transaction is the key to maximizing investor returns.”
The fund co-invests primarily in income-generating office, logistics and multi-family properties in OECD countries with a focus on major cities in Europe, the United States and APAC. The evergreen fund aims to generate a gross total return of 6 to 9% p.a. and a distribution to investors of 4 to5 % p.a. In addition, interested fund investors receive exclusive access to the Club Estate platform with vetted co-investment opportunities according to their investment preferences.
The fund successfully closed its first transaction with a local manager in June together with a Singapore family office acting as a seed investor. The acquired prime office property, located in Düsseldorf, Germany, is rented to multiple tier 1 tenants and has attractive upside potential.
Roger Tan, Partner of Club Estate AG, the fund’s advisor, said: “The Club Estate co-investment fund offers professional investors access to a well-diversified portfolio of vetted co-investments from a variety of managers at reduced fee levels. It also gives investors flexibility to increase exposure in selected transactions, supporting a portfolio construction aligned with the respective investment targets.”