Cube Capital looks to introduce a new RE fund in Asia
The investment management and advisory firm currently based in London and Hong Kong, is planning a $150 million real estate opportunity fund.
Cube Capital has a strategy to generate optimistic returns from emerging real estate regions such Myanmar, Mongolia and Vietnam. According to Cube, these countries boast strong growth potential due to favourable political changes, positive regional demographics and liberalisation. Cube Asia Frontier Fund (CAFF) will be primarily focused on developing these countries.
This will be the first private equity real estate fund by Cube and is predicted to last up to eight years. The $150 million Cube Asia Frontier Fund (CAFF) is projected to generate a 25 percent IRR from its investments. Due to the size of CAFF and Cube’s frontier markets investment strategy, it is evident that Cube Capital are not targeting investments from large established venture capitalists, but rather smaller groups such as family offices. The majority of the investments are expected to come from the Middle East and Europe.
Source: PERE 11/06/2012