H.I.G Capital has closed its third European real estate fund with commitments significantly over its predecessor’s fund size.
The private equity company, which has $64 billion of capital under management, closed H.I.G. Europe Realty Partners III at about $1.3 billion. In 2019, H.I.G. Europe Realty Partners II closed with commitments of $760 million.
H.I.G. Europe Realty Partners primarily targets value-add investments in the middle market real estate segment in Europe and to date, the fund has made over ten investments across various geographies in Europe.
Europe Realty Partners III was backed by diverse and global group of limited partners including public and private sector pensions, endowments, foundations, asset managers, consultants, fund of funds, financial institutions, and family offices in North America, Europe, Asia, and the Middle East.
What they said
Sami Mnaymneh and Tony Tamer, co-founders of H.I.G said: “As we continue to expand our global real estate footprint, we are thrilled by the success of our European real estate platform as evidenced by the strong support from our investors. We believe the current environment, specifically in the UK and Germany, where market dislocations are driving meaningful repricing across asset classes, presents compelling investment opportunities for the fund.”
Riccardo Dallolio, head of Europe real estate added: “The fund is well-positioned to capitalize on the current market opportunity set in the less efficient middle market segment across Europe. It will invest across the capital structure and asset classes with a particular focus on value-add and operational improvements to generate substantial asset appreciation.”