TH Real Estate, an affiliate of Nuveen (the investment management arm of TIAA) and one of the largest real estate investment managers, has raised an additional €422 million ($492 million) for its European Cities Fund from five international investors. The European diversified core, open-ended fund now comprises investors from Germany, Austria, The Netherlands, Italy, Ireland, the United States and Australia. To date, the fund has raised €1 billion ($1.16 billion) in equity.
Launched in March 2016, the fund has since secured an initial portfolio comprising high-quality assets totaling €940 million ($1.09 billion), with a further two deals close to completion. This portfolio offers investors direct access to €1.6 billion ($1.86 billion) of real estate across Europe’s most dynamic and resilient cities. This most recent capital raise provides a further €550 million ($642 million) of total investment capacity for additional assets across the office, industrial and retail sectors.
Current holdings in the fund include Helsinki’s premier shopping center, Kamppi; Xanadu Shopping Centre in Madrid alongside Intu; The Omni Centre in Edinburgh, a mixed-use scheme adjacent to the Edinburgh St. James development; and the forward funding of The Cube in Berlin, a prime office development. Further office investments are close to completion.
In additional fundraising, TH Real Estate recently held a $245 million close for CASA Partners VII (CASA VII) in October, the seventh fund in a series of multifamily housing club funds. The fund is focused primarily on U.S. value-added rental housing and seeks to provide its investors enhanced returns with high sustainable income.
