Prudential Real Estate Investors and Algemene Pensioen Groep (“APG”)
have launched Pramerica Real Estate Capital V (Netherlands) (“PRECap
Netherlands”). PREI® raised $366.7 million (€265 million) of
discretionary capital of which the majority is provided by APG, the
leading pension fund manager in the Netherlands, which has more than
$477.3 billion (€345 billion) of assets under management. PREI is the
real estate investment and advisory business of Prudential Financial,
Inc. (NYSE:PRU), which has a global real estate debt platform of more
than $5 billion.
The latest fundraising follows 30 debt investments from the Pramerica
Real Estate Capital (“PRECap”) platform, with the value of capital
invested exceeding €1.2 billion in loans secured on €4.6 billion of
European real estate, cementing PREI’s place at the forefront of the
junior debt market.
The strategy for PRECap V Netherlands is to build up a diverse junior
debt and preferred capital portfolio, secured against commercial real
estate assets located in the Netherlands, with a partial allocation to
Belgium.
Andrew Radkiewicz, managing director and co-head of Europe at PREI,
which does business in Europe as Pramerica, commented, “The Netherlands
is at an attractive point in the cycle, earlier in the recovery phase
than the UK, and there is less competition in the lending market
compared to other countries, where increasing numbers of lenders are
active. We believe there is an exciting opportunity in the Netherlands
market, with a large number of loans and CMBS expiring in the short to
medium term, and a significant shortfall in existing debt availability.
Any deals we do will be predicated on the quality of the underlying
asset secured on the loan, but we believe that there is potential to
generate excellent risk adjusted returns on behalf of our investor.”
Robert-Jan Foortse, Head of European Property Investments at APG Asset
Management, commented, “The Dutch real estate market suffers from a
funding gap, where the finance market remains tight and dislocated. At
this moment, there is the opportunity in the Netherlands to provide
junior debt and to capitalize on both acquisition as well as refinancing
opportunities. Within APG Real Estate, we view this as the right moment
to allocate capital to the Dutch real estate market through this
exclusive debt mandate with PREI.”
PREI is a leader in the global real estate investment management
business, offering a broad range of investment vehicles that invest in
private and public market opportunities in the United States, Europe,
the Middle East, Asia, Australia and Latin America. Headquartered in
Madison, N.J., the company also has offices in Atlanta, Chicago, Miami,
New York, San Francisco, Frankfurt, Lisbon, London, Luxembourg, Munich,
Paris, Abu Dhabi, Mexico City, Sao Paulo, Hong Kong, Seoul, Singapore,
Sydney and Tokyo. In addition, the company has representatives in Milan.
PREI had gross assets under management of USD $53.9 billion ($40.2
billion net), as of September 30, 2013. For more information, visit http://www.prei.com.
Prudential Financial, Inc. (NYSE:PRU), a financial services leader with
more than $1.1 trillion of assets under management as of December 31,
2013, has operations in the United States, Asia, Europe, and Latin
America. Prudential’s diverse and talented employees are committed to
helping individual and institutional customers grow and protect their
wealth through a variety of products and services, including life
insurance, annuities, retirement-related services, mutual funds and
investment management. In the U.S., Prudential’s iconic Rock symbol has
stood for strength, stability, expertise and innovation for more than a
century. For more information, please visit www.news.prudential.com.
Copyright Business Wire 2014