KGAL Investment Management has completed the first closing of its KGAL Wohnen Core 3 Fund, which specializes in sustainable residential real estate in Germany.
The fund has raised €370 million ($442 million) to date, against a target equity volume of €400 million ($478 million).
KGAL said the fund can be expanded up to a hard cap of €500 million ($598 million) in equity, and its current deal pipeline amounts to €240 million ($287 million) in high-growth A cities.
“As with the first closing, we are looking for a homogeneous investor base of institutional investors, such as insurers and pension funds,” said Florian Martin, managing director responsible for KGAL Investment Management's institutional clients. “Due to the high current placement volume and the soft commitments already made for the second closing, we confidently expect to place the fund this year beyond the original target volume of €400 million.”
