Capital raising by unlisted property funds has risen year-on-year, with a total of €41.3bn (£33.1bn) raised in the first half of 2014.
This is a 22% increase on the first six months of last year, which weighed in as a 12-month post-crisis record fundraising period.
However, it is 28% less than last year’s H2 haul, when a handful of global giants reached multi-billion-pound closes.
The new and existing funds in the market will need to take in €49.4m in the second half to repeat last year’s €90.7bn record.
The new data from Association of Real Estate Funds and Property Funds Research also looked at 2013 launches in isolation. It found a total of 69 new funds launched in H1 2014, accumulating a gross asset value of €25.7bn. However, the unlisted funds sector will have some way to go in the second half of the year if it is to match the €95.3bn raised by the 215 funds that launched in 2013.
Value-add remained the most popular style in 2014, with 25 funds, or 36% of the total launched during H1, following this strategy. Value-add has been the most popular since 2009, according to AREF’s and PFR’s research.
bridget.oconnell@estatesgazette.com
