New York-based investment firm KKR closes first Asian real estate fund at US$1.7 billion
- The company has deployed more than US$1.5 billion of equity across about 20 real estate transactions in Asia-Pacific since 2011
- It closed its first Asia-Pacific infrastructure fund at US$3.9 billion this week
Global investment firm KKR said on Thursday that it had closed its first Asia-Pacific property fund at US$1.7 billion.
The fund, called KKR Asia Real Estate Partners (AREP), will invest in commercial, industrial and residential properties, and will opportunistically evaluate assets in emerging alternative sectors. It can buy equity and debt in both emerging and developed markets.
“Increased domestic consumption, productivity and urbanisation – combined with the acceleration of e-commerce and platform-based businesses and the evolution of the traditional office landscape – are fundamentally reshaping the region’s real estate sector,” said John Pattar, head of Asia-Pacific real estate at KKR.
KKR is rapidly diversifying its business across asset classes in the region. Traditionally known for buyouts, the New York-headquartered firm is also ramping up investment in areas such as private debt.
“AREP’s close marks the next chapter of growth for KKR in Asia-Pacific, as we continue to expand our position as a proven alternative capital provider across asset classes,” said Ming Lu, head of KKR Asia-Pacific.
