Henderson raises capital for second property fund in two days

Anna Fedorova
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Henderson Global Investors' latest real estate fund closure, the second one in two days, has raised twice as much equity as yesterday's German logistics fund. The Austrian commercial property fund has attracted €180mn from investors in Germany and Austria.

Henderson Global Investors’ latest real estate fund closure, the second one in two days, has raised twice as much equity as yesterday’s German logistics fund. The Austrian commercial property fund has attracted €180mn from investors in Germany and Austria.

As in the case of the German fund, the majority of funds have come from institutions looking for strong stable returns. The money raised bring the fund’s total investable capital up to €360m.

In comparison the German logistics fund, which closed yesterday, raised €90m towards the total €150m of holdings to be deployed.

The broader focus of the Austrian fund no doubt had something to contribute to the volume of raised capital, as it is less constrained in its investment strategy than the German fund, which intends to focus solely on warehouses.

The Austrian fund may invest in a broader range of corporate properties, as well as in real estate debt.

However, Stefan Wundrak (pictured), director of property research at Henderson, pointed out the fundraising for the logistics funds was done in record time – around six months – much quicker than the firm’s other Spezialfonds.

Additionally, the Austrian fund had completed its second closing, while the fundraising exercise for the German fund was its first foray, so it has had less time to raise capital than the Austrian vehicle.

For most of the investors in the fund, this was the first venture into the logistics sector, which makes the quick closing of the fund even more impressive.

Wundrak said: “The German logistics investment universe is indeed relatively limited, but that is part of the attraction. Germany has by far the largest logistics occupier market in Europe, but the investment market lacks maturity. We already see the sector developing fast and want to be invested ahead of the market.”

He expects the logistics fund to raise almost as much capital as the Austrian fund in the second closing, but said it will remain smaller as less gearing is applied (40% instead of 50%).

The ultimate target size for the German fund is €250m. Most of the interest in the vehicle so far has come from German pensions and insurers, which are bullish on the real estate market.