Key Takeaways
- • Hines is set to launch Hines European Property Partners (HEPP), a new diversified, open-ended core-plus real estate fund focused on key European markets, with launch planned later in 2022.
- • HEPP aims to raise €1bn in investor equity within the first 12 months from launch.
- • Jorge Duarte, formerly Managing Director and Head of Core Investing in Europe at Barings, has been appointed Fund Manager of HEPP.
- • HEPP will sit alongside Hines U.S. Property Partners (HUSPP) and Hines Asia Property Partners (HAPP), which launched in 2021 and have secured c$2.5 billion in combined commitments.
- • The fund will target logistics, office, living (residential, student and senior housing) assets, leveraging Hines' 16 European offices and a European team of more than 650 people.
Summary
Hines, the privately owned global real estate investment firm, is set to launch Hines European Property Partners (HEPP), a new diversified, open-ended core-plus fund focused on key European markets, according to the firm's announcement dated January 24, 2022. The fund will seek to acquire and develop sustainable assets across logistics, office, living (residential, student and senior housing) sectors in Europe's most dynamic urban centers and gateway cities. HEPP will launch later this year and aims to attract €1bn in investor equity in its first 12 months.
The strategy will combine Hines' proprietary research framework with its execution platform to grow a portfolio of high-quality income-producing assets, seeking to maximize asset-level value through active management and select developments. The firm cites its 16 European offices and a European team of more than 650 people as the basis for deal sourcing and execution.
Jorge Duarte has been appointed Fund Manager. He joins Hines from Barings, where he worked for over six years, most recently as Managing Director and Head of Core Investing in Europe, overseeing the launch of an open-ended pan-European real estate equity fund. Previously, he spent five years at AXA IM Real Assets as Fund Manager of a pan-European value-add fund, and three years as Country Manager – Southern Europe at Howard Holdings.
HEPP will sit alongside Hines U.S. Property Partners (HUSPP) and Hines Asia Property Partners (HAPP), both launched in 2021 and together holding c$2.5 billion in commitments, and will complement the existing Hines European Core Fund (HECF) and Hines European Value Fund series, including HEVF 2. Alex Knapp, Chief Investment Officer for Europe at Hines, said the success of HUSPP and HAPP reflects 'global appetite for diversified and open-ended funds capable of data-driven, cross-sector investment and value creation.' Hines describes HECF and HEVF 2 as holding market-leading ESG credentials recognized by GRESB. As of Q4 2021, HECF's portfolio was 97% occupied with an aggregate fund value of c.€2.8bn across 35 assets. Hines reports European assets under management of approximately €21.7 billion, and global AUM of approximately $83.6 billion as of June 30, 2021.
The strategy will combine Hines' proprietary research framework with its execution platform to grow a portfolio of high-quality income-producing assets, seeking to maximize asset-level value through active management and select developments. The firm cites its 16 European offices and a European team of more than 650 people as the basis for deal sourcing and execution.
Jorge Duarte has been appointed Fund Manager. He joins Hines from Barings, where he worked for over six years, most recently as Managing Director and Head of Core Investing in Europe, overseeing the launch of an open-ended pan-European real estate equity fund. Previously, he spent five years at AXA IM Real Assets as Fund Manager of a pan-European value-add fund, and three years as Country Manager – Southern Europe at Howard Holdings.
HEPP will sit alongside Hines U.S. Property Partners (HUSPP) and Hines Asia Property Partners (HAPP), both launched in 2021 and together holding c$2.5 billion in commitments, and will complement the existing Hines European Core Fund (HECF) and Hines European Value Fund series, including HEVF 2. Alex Knapp, Chief Investment Officer for Europe at Hines, said the success of HUSPP and HAPP reflects 'global appetite for diversified and open-ended funds capable of data-driven, cross-sector investment and value creation.' Hines describes HECF and HEVF 2 as holding market-leading ESG credentials recognized by GRESB. As of Q4 2021, HECF's portfolio was 97% occupied with an aggregate fund value of c.€2.8bn across 35 assets. Hines reports European assets under management of approximately €21.7 billion, and global AUM of approximately $83.6 billion as of June 30, 2021.
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