Brookfield Asset Management Inc. (BAM/A), Canada’s biggest manager of alternative assets, said it raised $4.4 billion to buy commercial real estate around the world, surpassing its $3.5 billion goal.
The Brookfield Strategic Real Estate Partners fund will make “opportunistic” investments in commercial property, the company said today in a statement. The Toronto-based company’s Brookfield Property Partners LP (BPY-U) unit put about $1.3 billion to the fund as its largest investor.
The fund will buy assets mainly in North America, Europe, Brazil and Australia, the company said. It plans to purchase property directly and invest in real estate companies and distressed loans and securities with the aim of gaining control or influence as part of turnarounds or recapitalizations.
The fund already has committed about $1.1 billion to investments in Thakral Holdings Group, an Australian office and hotel owner; Verde Realty, a U.S. industrial real estate company; and EZW Gazeley Ltd., an owner of European logistics facilities.
The new property fund is part of about $14 billion of capital pledges to Brookfield funds in the past year. They include the $6.2 billion Brookfield Infrastructure Fund, the $2.1 billion Brookfield Investment Management fund, and funds to buy office buildings in Los Angeles and assets such as timber.
Brookfield Asset has more than $175 billion of assets under management, including hydroelectric dams and infrastructure. Its Bermuda-based Brookfield Property unit has stakes in more than 300 office and retail properties with about 250 million square feet (23 million square meters), plus apartment, industrial and development holdings.
Brookfield Property’s holdings include Brookfield Office Properties Inc. (BPO), owner of the Brookfield Place office complex in lower Manhattan. The company also holds about 22 percent of General Growth Properties Inc. (GGP), the No. 2 U.S. shopping mall landlord.
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