Boston-based fund manager Pioneer Group has announced the first closing of its $60m Polish Real Estate Fund.
The fund, to be managed by Pioneer subsidiary Pioneer Real Estate Advisors will invest in and develop medium-sized commercial real estate projects across Poland.
The initial closing provides $33.5m of equity from investors such as CADIM, a property arm of Caisse de Dépôt at placement du Québec, European Bank for Reconstruction and Development, The Foundation for Polish Science, Vienna Leas International and Pioneer itself.
Pioneer expects another closing with additional investors later this month. According to Amos J Rogers, senior vice president of Pioneer Real Estate Advisors: “This fund represents the region’s first truly international real estate investment fund combining both western and local investors.”
As well as serving as investment advisor to the Polish fund, Pioneer Real Estate Advisors provides property consultancy and facilities management to both Western and local Polish clients. The US group also has offices in Warsaw, Moscow, Czech Republic, Germany, Ireland, Switzerland, Ghana and India.
In August 1998, Pioneer Real Estate Advisors in partnership with Banc One Capital Markets – which is backed by US federal agency OPIC – launched the Pioneer-Banc One Property Fund to develop and buy office and distribution facilities in Central and Eastern Europe. It has $80m of OPIC-guaranteed debt.
