Resolution Property has launched a €200m (£173m) equity fund targeting core plus real estate in the UK, Europe and Switzerland.
Backed by an unnamed German insurance firm, the closed-ended fund follows the launch of a €200m mezzanine debt fund by the firm earlier this year.
Resolution is targeting returns of around 6% with the debt fund and high single figures with the equity fund, its chief executive Robert Laurence said.
Currently the business manages around £1.2bn of assets on behalf of its clients across five funds.
It is in the process of divesting two of these funds, but Fund 5, which is backed by Shanghai-based Fosun, is still in acquisition mode and has spent €675m to date on property, including a reported £300m on the 560,000 sq ft mixed-use office campus Moretown in Wapping, E1. The campus will become home to architecture firm Gensler’s UK headquarters once its refurbishment is complete.
Laurence added that Resolution is still keen to buy property in the UK and pointed out that the slowdown in London’s capital markets due to Brexit was “presenting a few opportunities”.
He also told EG that having launched this equity fund, the business is now focused not only on deploying its capital, but also on expanding itself via an acquisition of real estate-related platform.
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