FINANCE: Axa Real Estate Investment Managers has secured a €485m (£398m) senior debt fund mandate from five Danish pension funds.
The European fund manager has been appointed investment manager for the Kronborg debt vehicle formed by Sampension, TDC Pension, AP Pension, JØP and DIP.
The mandate represents AXA Real Estate’s first significant capital commitment to its debt platform from Danish investors.
Kronborg will invest in large senior loans across all asset classes, including offices, retail, logistics and hotels.
Targeting opportunities in western Europe, with a focus on the UK, France and Germany, investments will be made alongside other clients within Axa Real Estate’s €7.9bn debt platform.
Charles Daulon du Laurens, Axa Real Estate’s head of investor relations-real asset finance, said: “The bank disintermediation is offering an opportunity for investors to diversify their traditional credit allocation into private debt, which enables them to benefit from significant liquidity premiums to achieve the yield enhancement they need, particularly in a low rate environment.
“The Kronborg Fund is a prime example of agile investors recognising the emergence of a market trend and fully capitalising on it.
“We believe that the long-standing and proven track record of our debt platform is a key factor that is important to investors when selecting a partner to manage their CRE loan allocation.”
bridget.oconnell@estatesgazette.com
