28 Feb 2012

Tristan Capital Fund Closes at €420 Million with 40% Already Invested

Source: Tristan Capital Partners Press Release

Pan-European real estate investment manager Tristan Capital Partners has completed a fourth and final capital close for its CCP III LP Fund, raising €420 million. The fund is already around 40% invested/65% committed and has attracted significant volumes of capital from new investors for Tristan, particularly in Europe and Asia.

Tristan Capital CEO, Ric Lewis said: “Many managers are struggling to raise capital because they’re forced to solve for unrealistically high opportunistic returns in European real estate markets. We said at the launch of the CCP III Fund that the current market environment lends itself more to moderate risk versus return, core plus/value add strategies and this has been proven by the fact that we’ve already successfully invested over 40% of the equity raised in the last several months.  We’ve built a diversified portfolio of solid, income producing assets and we expect two-thirds of the Fund’s equity capital to be committed by the end of the second quarter of 2012.”

Since its launch in the Spring of 2011, CCP III has completed a string of deals:

  • Purchase of retail/residential complex in Düsseldorf, Germany – €34 million
  • Purchase new office block in Glasgow, Scotland – €23 million
  • Purchase of high street retail shopping centre in the UK – €38 million
  • Funding for a pan-European logistics developer – €100 million
  • Purchase of six Czech logistics parks – €135 million

In addition to the investments detailed above, Tristan has secured exclusivity on a further €440 million of deals in Germany, France, Poland and Austria which would bring the equity committed to approximately 65%.

A total of 13 institutional investors from a range of nationalities have invested in CCP III, including Germany, the Netherlands, Finland, the U.K., the U.S.A. and Singapore.

Tristan Capital, Head of Client Relations, Monica O’Neill said: “Tristan decided to hold an early final capital close on CCP III, just eight months after the first close. Although there were more institutional investors interested in participating, we decided to cap our marketing efforts below the fund’s hard cap of €500 million to focus on deals we have in our pipeline and manage the already substantial portfolio we’ve built for investors.”

Since the company was established in mid-2009, Tristan Capital has emerged as one of the Top 101 ranking real estate investors in Europe last year through its own and co-managed funds EPI LP and EPISO LP, with total assets under management of €3.0 billion. The company has a team of around 40 real estate investment professionals in four offices around Europe, many of who worked at the former Curzon Global Partners real estate investment boutique manager originally established by Ric Lewis.

1 PropertyEU 2011 survey of top real estate investors in Europe by value of investments.