Greystar Europe Investment Management BV attracted €1.55 billion ($1.57 billion) for its Greystar Equity Partners Europe I (GEPE I).
The fund is a discretionary close-ended, pan-European value-add fund focused on rental residential real estate. The first close of GEPE I was in May 2021 and it surpassed its original target then of €1 billion. Acquisitions will include rental apartments, student housing and young professional housing in Europe’s major cities, where a growing number of renters face both a significant undersupply of quality housing and a lack of professional management to suit their needs and lifestyle officials said.
So far, GEPE I has committed more than €770 million in equity to date across closed and identified assets less than a year into its investment period with an additional €220 million in assets under exclusivity. The portfolio spans 22 properties in six countries.
“Over the last seven years we have grown to become one of the largest vertically integrated residential platforms in Europe with over €8 billion in AUM and more than 750 team members,” said Mark Allnutt, senior managing director – Europe at Greystar. “To do this, we leveraged nearly 30 years of global experience in rental housing. However, the key to our success is having local teams who ensure we source the right deals and tailor our product to the needs of renters in each city.”
Greystar has experienced local teams in their target cities across Europe. They are set to employ Greystar’s value-add strategies of off-market sourcing, capital improvements, asset repositioning and operational enhancements to deliver value across the GEPE I portfolio.
The portfolio includes: a 682-bed purpose-built student housing in Utrecht, the Netherlands; a 342-unit development near Dublin city center; and 3,500 beds of purpose-built student accommodation across the UK.
Greystar manages and operates over $221 billion of real estate in 224 markets globally including offices throughout North America, Europe, South America, and the Asia-Pacific region. In the U.S., the real estate firm is the largest operator of apartments in the United States, managing over 768,000 units/beds. The U.S. institutional investment management platform has more than $58.2 billion of assets under management, including over $24 billion of development assets.
“GEPE I follows the formula of Greystar’s long history of value-add strategies in the U.S., said Wes Fuller executive, managing director and global investment at Greystar. “We are pleased to welcome existing and new capital partners from across Europe, Asia-Pacific and North America to the Fund and are excited at the opportunity to grow our portfolio with their support.”