Tristan Capital Partners has completed its second closing on the €750m opportunistic real estate fund EPISO3.
The second close brings the fund near its halfway point to the final €750m target, with deals for this investment strategy in Europe “now the most attractive for a decade,” the firm said.
Tristan chief executive officer Ric Lewis said the company had added three new investors to the fund, including US and German institutions, with further interest coming from Asia alongside the traditional European institutional base.
TCP expects to hold a third closing in June or July for the investors, which are now in advanced stage due diligence.
Lewis said: “In the value-added investment space, we’ve completed 22 investments in the last 18 months.
“I feel that many of these transactions are among the best deals we’ve completed since the market run-up started the last cycle in 2003/4.
“The first mover advantage of having already amassed equity and debt capital for value added investment strategies across Europe has paid off. It has enabled us to secure several transactions which provide our clients with durable current income, and embedded value that we have been able in many instances to unlock from day one without sacrificing upside value potential.”
EPISO 3’s mandate is to invest in western and central European markets across the office, logistics, retail and residential sectors.
The fund’s strategy is to target investment returns of 15% net to investors and with a maximum leverage of 60% loan-to-value.
Lazard is acting as advisor to Tristan on the marketing and fundraising of EPISO 3.
jack.sidders@estatesgazette.com
