FINANCE: Catalyst Capital has announced the first close of the €1.25bn (£890m) European Property Fund II.
At the first close Catalyst raised equity commitments of €150m from global institutional investors.
The investors are a mix of US and European pension funds, US endowments, funds of funds, family offices and wealth management firms, including investors from Catalyst’s first European real estate fund.
Almost half of the initial commitments have already been deployed in three separate transactions in the UK and Europe.
CEPF II will invest in the office and retail sectors, and in the UK, France, Belgium, Germany and Poland with the aim of building a diverse portfolio.
Catalyst foundng partner Julian newiss said: “We are appreciative of the support shown by investors towards our strategy.
“We believe the current environment provides an excellent opportunity to generate strong returns. The volume of European distressed property loan sales coming onto the market has never been higher and is set to continue as a result of the European Central Bank’s asset quality review.
“These assets will benefit from Catalyst’s in-house asset management skills and understanding of local markets to create value for the fund’s investors.”
