Ares Management, L.P. (NYSE:ARES) announced today that a fund in its Real Estate Group has acquired a 45,000-square-meter office and retail portfolio consisting of eight properties located across five European countries, including the U.K., Germany, Sweden, Poland and the Netherlands, from IVG Institutional Funds. The portfolio was valued at more than €100 million, and this transaction represents one of the first multi-jurisdictional portfolio sales since the financial crisis more than six years ago.
The Ares Real Estate Group has extensive experience investing in value-add properties across Europe, having been a market participant in the region since 1995 and having previously transacted in each of the countries represented in this portfolio. Ares relied on its local expertise as an active opportunistic and value-add investor in each of these countries as well as its cross-jurisdictional capabilities in its underwriting.
"We are delighted to have completed the acquisition of a portfolio of high quality assets with a diverse set of strong tenants,” said Wilson Lamont, a Partner in the Ares Real Estate Group. “Not only do the properties within the portfolio provide an attractive initial yield, we believe they also present several asset management opportunities, which is consistent with the objectives of our growing value-add business. Our unique ability to handle the complexity of multiple jurisdictions has always been valuable to our investors, and was particularly important in enabling us to provide certainty of closing in this transaction.”
Ares is a leading global alternative asset manager with approximately $84 billion of assets under management and more than 15 offices in the United States, Europe and Asia as of September 30, 2014, pro forma for the previously announced acquisition of Energy Investors Funds. Since its inception in 1997, Ares has adhered to a disciplined investment philosophy that focuses on delivering strong risk-adjusted investment returns throughout market cycles. Ares believes each of its four distinct but complementary investment groups in Tradable Credit, Direct Lending, Private Equity and Real Estate is a market leader based on assets under management and investment performance. Ares was built upon the fundamental principle that each group benefits from being part of the greater whole.
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Statements included herein may constitute “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995, which relate to future events or future performance or financial condition. These statements are not guarantees of future performance, condition or results and involve a number of risks and uncertainties. Actual results may differ materially from those in the forward-looking statements as a result of a number of factors, including those described from time to time in Ares’ filings with the Securities and Exchange Commission. Ares’ undertakes no duty to update any forward-looking statements made herein.