At a special breakfast meeting, PERE assembled a cross-section of industry participants to swap notes on MIPIM and their businesses. By Robin Marriott and Jonathan Brasse. PERE Magazine, April 2009 issue
PERE Magazine, April 2009 issue
The Darien, Connecticut-based funds of funds manager has closed its third property vehicle on $146.5m and its fifth private equity fund on $1.05bn.
The $850m police and fire pension fund aims to take advantage of discounted US property prices by increasing its allocation to the sector from 10 percent to 20 percent. In submitting a bill to Florida lawmakers, Jacksonville hopes to grow its real estate portfolio to $170m.
The real estate consultant has hired former Cushman & Wakefield partner Adam Calman to lead its push into Europe. Townsend is consultant to $126.4bn California State Teachers’ Retirement System (CalSTRS), the Government of Thailand and ATP in Denmark.
As the US property market continues to deteriorate, research by fund manager RREEF reveals that value-added and opportunistic strategies should be treated with ‘caution’. However, desperate sellers will produce ‘attractive opportunities’ for some.
More than half of all delegates at the PREA spring conference in Washington DC believe LPs will call for more separate accounts and fewer commingled funds. However, opportunistic strategies make the most sense in 2009.
The CEO of Allianz Real Estate Olivier Piani said lending in Europe won’t improve significantly until banks deal with their real estate assets. However, the PREA spring conference heard there’s more upside than downside to the current crisis.
In a story dated 20 March, PERE reported that David Loglisci and Henry Morris, a former political advisor to the US public pension, allegedly extracted sham ‘finder’s fees’ from various private equity and hedge funds, including a vehicle run by Paladin. The story should have read Paladin Capital Group.
The Sacramento-focused firm has set in place a 5% management fee that is only payable on revenue earned by the partnership. The vehicle is focused on buying raw land and finished lots in Sacramento and Reno with the intention of “holding” the assets until property markets return.