PGIM Real Estate amasses $400m for European core-plus strategy

PGIM Real Estate, the $204.4 billion real estate investment management business of PGIM, has raised more than $400 million for its European core-plus strategy less than six months after launching the new vehicle.

The open-ended strategy targets Europe’s most liquid markets, allocating to sectors benefiting from structural trends driven by digitalization, changing demographics and decarbonization. These include last-mile logistics, residential (rental, senior housing and student housing) and office. The strategy will also target tactical opportunities in mispriced sectors, such as hotels or self-storage.

With a focus on value creation, PGIM Real Estate said the fund places active asset management and dedicated ESG risk management at the center of the strategy.

“In this high-inflation environment and amid market dislocations, investors increasingly want strategies that are able to distribute sustainable income and generate alpha,” said Jocelyn de Verdelon, s