PGIM Real Estate has raised more than £1bn for the Pramerica Real Estate Capital VI European debt fund.
The fund raised 80% of its capital in the nine months following the EU referendum and received commitments from institutional investors in the Americas, Europe, the Middle East and Asia Pacific.
Following the strategy of its previous five European debt funds, PRECap VI will provide a range of alternative finance from whole loans, mezzanine and preferred equity, targeting predictable double-digit income returns across Western Europe.
Investments will range from £10m to more than £100m and will focus on development finance, repositioning and value-add projects in private real estate.
Andrew Radkiewicz, global head of debt strategies at PGIM Real Estate, said: “We are delighted with the strength of investor participation, particularly after the Brexit vote.
“We saw a fundamental increase in commitments from institutional investors’ real estate, private credit and alternative fixed-income allocations, due to the sustainable risk adjusted returns offered by this asset class.”
Since 2010, PGIM Real Estate has raised and deployed more than £2bn in European private real estate debt over 60 transactions throughout Western Europe.
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