CapitaLand Investment raises $950 mln for 3 private funds

Real estate investment trust (REIT) CapitaLand Investment, backed by the Singapore government, has obtained about S$1.3 billion ($950 million) equity commitment from global institutional investors for three of its private funds.

Therefore, its total equity raised to date this year is S$3.2 billion (over $2.36 billion), the Singapore-based trust said on the weekend, adding that the amount raised within eight months is a 28% increase compared with the S$2.5 billion (almost $1.85 billion) of equity raised for the full year 2022.

The new third-party equity comprises S$870 million ($650 million) secured for CapitaLand China Opportunistic Partners Program (CCOP Program), S$134 million ($100 million) for CapitaLand Investment’s flagship regional core-plus fund, CapitaLand Open End Real Estate Fund (COREF), and S$263 million ($197 million) for its new India business park development fund, which is CapitaLand India Growth Fund 2 (CIGF2)

“Our fundraising momentum has picked up pace, successfully raising S$3.2 billion equity to date this year to invest in real estate opportunities across the risk spectrum in Asia,” said Simon Treacy, CapitaLand Investment CEO for private equity real estate.

“This is testament to the trust that our capital partners have in our expertise in the region.

“With the strong investor demand for CCOP Program, COREF and CIGF2, we will continue to grow such scalable fund products and plan to embark on funds focused on value-add opportunities in Asia-Pacific,” he said.

Headquartered and listed in Singapore, CapitaLand Investment, or CLI, is a leading global REIT with a strong Asia foothold. As at 30 June 2023, CLI had S$134 billion (over $98.96 billion) of real estate assets under management, and S$89 billion (nearly $65.73 billion) of real estate funds under management, CLI claims.

CLI and CapitaLand Development (CLD) used to be part of Singapore’s Temasek-backed CapitaLand Group. CLD, a major property developer already present in Vietnam, said last July it was acquiring a mixed-use site of eight hectares in Ho Chi Minh City, Vietnam’s southern economic hub, to develop a project including over 1,100 high-end residential units and shophouses.

This March, CapitaLand showed an interest in acquiring some assets from Vietnam’s biggest listed property firm Vinhomes JSC, part of the country’s largest conglomerate Vingroup.