Establishment of GPT Halverton’s Dutch Active Fund (DAF)
The Fund is the sixth fund to be established by GPT Halverton since its inception in 2004 and brings total assets under management to close to €2 billion (excluding assets held to seed future funds). Combined with the growth of GPT’s Australian wholesale funds, the Group has rapidly increased assets under management and its relationships with institutional capital in Australia and internationally, and now manages over $8 billion in assets on behalf of investors in its funds.
DAF is a closed end core plus fund which has been established with a portfolio of 40 assets (largely small office and light industrial facilities) predominantly located in the thriving Randstad region of the Netherlands which is an important economic region in Europe and home to the Netherlands’ four largest cities, Amsterdam, Rotterdam, The Hague and Utrecht. The Fund’s portfolio is valued at €292 million and has significant value add potential through the application of GPT’ Halverton’s asset management expertise. The Fund is fully invested.
Debt for the life of the Fund has been secured with Eurohypo with an LTV of 60%. Interest rate hedging is also in place for the life of the Fund.
A second close for the Fund (of up to €50 million) is anticipated in mid 2008, through which GPT will reduce it’s current €50 million co-investment in the Fund.
The establishment of DAF is consistent with the Group’s stated strategy to continue to grow the European funds management business, focussing on markets where GPT Halverton has established local offices and networks, and assets which have the ability to benefit from the asset management capability offered by the business.
Nic Lyons, Chief Executive of GPT said it was particularly pleasing to have completed the first close for DAF so quickly after the successful close of the German Retail Property Fund (GRP) in December 2007.
“Like GRP, DAF attracted highly regarded investors, all of them new to the business.”
“With two funds launched in the last month we remain confident the platform we have established in Europe has the capacity to continue to deliver growth despite what is a challenging environment globally,” Mr Lyons said.
