ASG fund raises €489 million for a strategy focused on scaling up companies exposed to attractive real estate investment themes
Jersey (UK), January 11th, 2018 – ActivumSG Fund V, the latest European fund managed by real estate turnaround specialist ActivumSG Capital Management Ltd. (ASG), has secured €489 million at its final close of capital-raising. International investors’ commitments support a strategy that pivots away from conventional property purchases to focus on building up corporate platforms and other indirect paths to gain exposure to attractive real estate market investment themes.
Saul Goldstein, ASG’s Founder and Managing Partner, said: “We’ve adapted our strategy because direct real estate markets are so competitive. Taking the indirect route allows us to avoid the herd and get exposure to strong investment themes through corporate purchases or mezzanine finance. If we cannot find the right platform that we can scale up, we build it ourselves – as we have done with ASG Homes to seize Spain’s compelling residential development opportunities.”
ASG opened its Madrid office in 2014 and has built up a team of 24 with a strong focus on residential development in a market dislocated by the 2008 property crash. ASG Homes manages projects which are scheduled to deliver a total of 400,000 sm of housing.
In Germany, the predecessor to Fund V made three corporate investments, creating Instone Real Estate by combining residential developers formart and GRK. The same fund also purchased one of the largest retirement home developers in Germany, WI Immo.
The sum raised by Fund V is the largest amount of equity raised to date by ASG funds and more than half of the capital came from existing investors. The Fund has already committed more than €200 million of the equity raised to investments in Germany and Spain, including this week’s announcement of the purchase of fairvesta, the real estate fund platform serving retail investors from across Europe.