DTZ Investors and The Collective launch world’s first large-scale co-living fund
DTZ Investors (DTZI) and global co-living platform The Collective have launched the world’s first institutional large-scale co-living fund, targeting up to £650 million ($815 million) in equity commitments.
The fund, known as COLIV, will look to acquire between six and 10 co-living assets in London, with a target asset value of £1 billion ($1.25 billion) over fund’s 10-year lifespan.
DTZI, a specialist European real estate fund manager, will act as the investment adviser to the fund while The Collective will serve as asset manager and property manager.
The fund will seek to provide investors with an attractive core-plus return by building a portfolio of large-scale co-living assets in Greater London over a four-year investment period. COLIV will also forward-fund developments, which will be acquired with pre-agreed occupancy targets to provide stabilized cash flow to meet the fund’s income requirements.
According to DTZI, the fund aims to address