LaSalle Investment Management has launched the LaSalle Japan Property Fund, a private open-ended core real estate fund.
The fund invests in core properties in Japan and launched with JPY 61bn ($560m) of initial equity commitments from Japanese investors along with loans extended by major Japanese financial institutions.
The initial portfolio includes six assets that have been selected based on LaSalle's Research and Strategy framework of Demographic, Technology and Urbanization (DTU), for a purchase price of JPY 105bn ($965m).
The new strategy will invest mainly in the Japanese cities of Tokyo, Osaka, Nagoya and Fukuoka in diversified assets across the office, industrial, retail and multifamily sectors. The Fund aims to grow to JPY 200bn ($1.8bn) in three years and JPY300bn ($2.7bn) in five years.
The fund will leverage the established platform of LaSalle, one of the world's leading dedicated real estate firms, with broad experience managing diversified open-ended core funds, including similar offerings in the US, Canada and Europe. It held its initial closing with commitments from Japanese investors and will target capital from international investors in the future.