A war chest of €1bn has been amassed for an east European fund that closed this week.
Chicago-based real estate investment manager Heitman has raised €350m of equity for its HEPP III fund, which will be combined with €650m of debt.
The company’s third European investment fund will target office, warehouse, residential and retail investments in Poland, Hungary, the Czech Republic, Slovakia, Slovenia, the Baltic States, Romania and Bulgaria.
The fund has already spent more than €200m on Czech offices, a logistics park in Slovakia and residential projects in Poland and Bulgaria.
Gordon Black, managing director of Heitman’s European private equity group, said: “We’re pleased with the diversity within the portfolio. In particular, we are very positive about the residential market and see tremendous potential for the sector.”
Heitman has a European team of 45 and currently has offices in London, Warsaw, Frankfurt and Luxembourg.
