Brookfield Asset Management Closes $15B Global Real Estate Fund

This is the Toronto-based company's largest private vehicle to date, exceeding its original fundraising target of $10 billion.
Brookfield Place in Manhattan

Brookfield Asset Management, the Toronto-based alternative asset management giant, announced it has closed on its largest real estate fund to date. The firm raised $15 billion for its global private real estate fund, Brookfield Strategic Real Estate Partners III (BSREP III), far exceeding its initial target of $10 million.

A group of more than 150 limited partners committed to the BSREP III fund, according to Brookfield, including public and private pension plans, sovereign wealth funds, financial institutions, endowments and foundations, family offices and investors from Brookfield’s newly launched private wealth channel.

Brookfield and Brookfield Property Partners committed $3.7 billion in aggregate to BSREP III. The fund focuses on acquiring high-quality real estate assets on a value basis. So far, the fund has made 10 investments around the world totaling more than $5 billion.

“We continue to utilize our core strengths—global reach, access to large-scale capital and operational expertise—that have served us well throughout our investment history,” said Brian Kingston, CEO of Brookfield Property Group, in prepared remarks. “We plan to remain patient in deploying capital but will be ready to invest when we see the right opportunities emerge.”

A BIG YEAR

Brookfield and its affiliate companies have made big moves over the last year. In April 2018, Brookfield Property Partners acquired retail owner GGP Inc., for $15.2 billion, while late last year, Brookfield Asset Management closed on its purchase of Forest City Realty Trust for $11.4 billion.

Brookfield Office Properties, a subsidiary of Brookfield Asset Management, is one of the top developers in the U.S. and has one of the biggest footprints in Manhattan, with more than 23 million square feet of space and more than 2 million currently under construction.