JER Partners (“JER”) and LaSalle Investment Management (“LaSalle”), a leading global real estate investment manager, announced today they have entered into an agreement whereby LaSalle will assume responsibilities for advising or managing the 13 investments in JER’s European portfolios.  The closing of the transaction is subject to customary conditions and investor approval. 

The transaction is being consummated in consultation with JER’s European fund investor base and its management teams in Europe and the U.S.  The proposed transfer achieves a number of key objectives: 

• Provide continuity of management of the existing assets by the current JER European team.
• Retain the team’s detailed asset knowledge.
• Provide stability and additional resources for the team.
• Continue to create value and maximize recovery on the JER Europe Fund investments.
• Allow JER to fulfill its fiduciary obligations to investors.
• Augment LaSalle’s European team and capabilities in new asset classes and geographies.  

The transfer of the European platform is being conducted as part of JER’s strategic refocus, which is directed at refining its business scope and focusing on the firm’s core strengths and capabilities in U.S. real estate investment markets.  Going forward, JER Partners will remain focused on protecting and enhancing the value of the assets in its U.S. portfolios. 

Barden Gale, CEO of JER stated, “We are very pleased to have reached agreement on this transaction on behalf of our investors and our team in Europe.  We considered a number of strategic alternatives for our European platform, and after consultation with investors, we believe this to be the best solution for all parties.”  He added, “LaSalle is an established and reputable firm with significant real estate expertise, ambitious growth plans as well as having clearly defined strategies for the management of the assets and the integration of the JER European platform.” 

Simon Marrison, LaSalle’s European CEO stated, “We are delighted to welcome the transferring JER team to LaSalle, and look forward to working with them to create value and maximize recovery on the Fund investments. As a trusted and highly experienced real estate investment manager with an excellent track record, we look forward to serving the investors in the JER Europe funds by supplementing and supporting the excellent efforts of the JER team to deliver the best possible results.  We have a long history of acting as a ‘proxy owner’ for our clients and continuously strive to deliver performance and service in a way which exceeds our clients’ expectations. We look forward to welcome our new colleagues and integrating the JER European platform into LaSalle.”