US private equity fund manager Doughty Hanson has completed the first closing of its $700m European real estate fund.
Doughty Hanson Real Estate Fund has so far raised more than $550m to invest in property and operating companies in Europe. The fund manager claims that the fund, once fully subscribed, will be the largest equity fund of its kind based in Europe. Doughty Hanson said is has sufficient indicative interest to reach $700m
Investors include public and private pension funds, insurance companies, endowments, investment funds and private individuals from the US, Europe, Middle and Far East.
Marc Mogull, managing partner of the fund, said: “What sets this fund apart from the others in Europe is its local presence. Doughty Hanson Real Estate has seasoned investment professionals operating in each of Doughty Hanson’s European offices. That kind of local presence is crucial in sourcing opportunities and managing investments.”
Doughty Hanson said it has deal opportunities in Germany, Italy, Scandinavia and central Europe and expects to complete its first deals by the end of the year.
Doughty Hanson has private equity funds under management of more than $4bn and has completed investments in excess of $11bn. It was set by in 1995 by Nigel Doughty and Dick Hanson who had previously worked at CWB Capital Partners, a joint venture between Charterhouse and Westdeutsche Landesbank.
In 1997, the group raised £1.5bn for European expansion.
