PAG raises $4 bn for opportunistic Asia real estate fund

PAG, an Asia Pacific-focused alternative investment firm, on Friday announced the final close of its 10th opportunistic real estate fund at $4 billion, including co-investment capital.

That surpassed its target of $3.5 billion and marked the largest US dollar-denominated real estate fundraising over the past 12 months, according to data from Preqin, a UK-based data provider.

“The fund focuses on property and debt investments across developed Asia markets with its largest investment presence in Japan, also targets investments in South Korea, Australia and New Zealand,” PAG said in a press release.

The fund plans to invest in multiple sectors including data centers, logistics, offices, multifamily and distressed debt.

Its strategy includes participating in real estate developments, providing high-yield bridge financing and investing in platform equity. Platform equity refers to investing in a company that serves as a platform for acquiring other firms in the same industry.

“We believe that the real estate sector in Asia Pacific presents tremendous opportunities for growth,” said Jon-Paul Toppino, president and co-founder of PAG.

“Our deep roots and established local presence in key Asia Pacific markets allow us to navigate their complicated dynamics and capitalize on these opportunities,” he added.

Founded in 1997, PAG's real estate arm, PAG Real Assets, has invested more than $45 billion in Asia Pacific, acquiring and managing over 7,400 properties.

Write to Yeonhee Kim at yhkim@hankyung.com
 

Joel Levin edited this article.