Property Funds Research found the largest capital managers grew their assets under management (AUM) from 2021 to 2023.
Large commingled real estate equity funds run by the biggest capital managers generally offer institutions multisector exposure and the ability to deploy capital at scale without breaching 10 percent of a fund’s total capital commitments. This is an important consideration for those with substantial capital to allocate and avoids the complications of managing multiple allocations to smaller managers.
Aside from their formidable capital-raising capabilities, the biggest platforms attract talent, source large deals, find partners with operational expertise, deliver the requisite compliance reporting and offer co-investment structures.
For Douglas Crawshaw, global head of real estate manager research at WTW, however, the downside of committing capital to megafunds is “you don’t have an ability to influence what is happening within the fund, a
