Heitman, who had around $ 44 billion in assets under management as of June 30, has raised funds from institutional investors including sovereign wealth funds, pension plans, foundations and corporations around the world.
âThe Covid environment has accelerated secular changes in retail and office space,â Tognarelli said. “We believe they still deserve to be included in portfolios because they offer favorable entry points.”
Heitman’s equity funds use ‘modest leverage’ and his credit fund will seek to generate around $ 1.5 billion in borrowing such as subordinated debt, senior construction loans and loans- first rank relay.
The company will focus on deploying its new funds in commercial real estate investments such as self-storage, doctor’s offices, apartments, student housing, senior housing, and warehouses and offices, Tognarelli said.
The three Heitman funds will also seek to provide capital to reallocate retail and office buildings, potentially as residential, mixed-use or hospitality assets.
Offices may be used differently in the future, as employers take a hybrid approach as opposed to a full-time in-person presence, according to Tognarelli.
âAs real estate investors, we are entering an era that is quite attractive,â he said.
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