Catalyst Capital, the European real estate investment and fund management firm, today announces the first close of Catalyst Core Plus European Property Fund (CCPEPF), a €1 billion “evergreen” real estate fund.
At the first close Catalyst has equity commitments of more than €400 million from international institutional investors. Using leverage, CCPEPF will have an initial €1 billion to invest in income-producing assets in every commercial real estate sector, including hotels and infrastructure. Geographically, CCPEPF will invest in the countries in northern Europe where Catalyst has an established presence, Germany, Poland, the UK and France.
As an “evergreen” fund, CCPEPF will have an indefinite life. Its final close is expected to be in the first quarter of 2018.
CCPEPF expands the value-add strategy Catalyst has successfully executed for more than 20 years. Catalyst is currently investing for its second European real estate fund, Catalyst European Property Fund II, which closed in August 2016 with €1 billion of spending power.
Julian Newiss, founding partner of Catalyst, said: “We are delighted with the support shown by investors towards our core-plus strategy.
“We believe the current environment provides an excellent opportunity to acquire assets with sustainable income in good locations”.
Kean Hird, partner of Catalyst and the manager of the fund, added: “This is a time in the cycle when investors are seeking secure income. Using our network of on-the-ground teams across Europe and understanding of local European markets, we are beginning to build a high-quality portfolio to generate attractive returns for investors”.