German company Real I.S. AG plans tounveil a real estate fund with a portfolio of retail, logistics and officeassets in Brisbane, Melbourne and Sydney, IPEReal Estate reported.
The Australia-focused property fund will provideinstitutional investors with some refuge from declining returns in the U.S. andin Europe, where Real I.S. sees fewer investment opportunities compared withAustralia, according to the report.
Jochen Schenk, Real I.S. management board member,reportedly said that the minimal impact of Brexit-induced market concerns inthe Asia-Pacific country is also one factor for establishing the new fund.
In addition, Real I.S. CEO Georg Jewgrafow believesthe distributions in the country "may carry a five before the decimalpoint."
In May, Real I.S. launched the €1 billion BGV VII Europa, a pan-Europeanfund that targets office, retail, mixed-use, logistics and hotel assets in Germany,France, Benelux, Spain and Ireland.