LaSalle Investment Management has reached an important milestone by fully investing its LaSalle Asia Recovery Fund with the recent acquisition of two properties in Hong Kong. The LaSalle Asia Recovery Fund has a current total investment value of more than $800 million in 12 properties across the Asia Pacific region, including Japan, Korea, Thailand and Hong Kong. Investors in the LaSalle Asia Recovery Fund include major pension funds, corporations and institutions from the United States, Europe and Asia Pacific.
“This latest milestone – which comes just a little more than two years since we completed fund-raising — underscores the effectiveness of our unique platform, which leverages the on-the-ground expertise of nearly 50 professionals across the region, our skill in sourcing attractive off-market transactions and our ability to act swiftly and close reliably on deals,” said Jack Chandler, CEO of LaSalle Investment Management, Asia Pacific. “Furthermore, we’re gratified that we’ve already sold three of our initial acquisitions at significant premiums to their purchase prices.”
“Equally important to the successful completion of the investment phase of the LaSalle Asia Recovery Fund is the unwavering support of our affiliate, Jones Lang LaSalle,” said Ian Mackie, President of the LaSalle Asia Recovery Fund. “With 1,200 professionals across the region, Jones Lang LaSalle assisted us with many facets that were critical to the success of the Fund’s investment program, from due diligence and valuation to property management and leasing and brokerage.”
The news of the full investment of the LaSalle Asia Recovery Fund comes on the heels of the company’s announcement in December, 2004, that it had successfully concluded fundraising for its Japan Logistics Fund with commitments from more than 20 investors, including major pension funds and institutions from the United States, Europe and Asia Pacific. The fund will acquire approximately US$1.5 billion (150 billion yen) of modern logistics facilities in Japan utilizing invested funds and debt.
“As home to many of the fastest-growing economies in the world, the Asia Pacific region continues to attract robust interest from global real estate investors seeking attractive risk-adjusted returns,” said Chandler. “We expect to see a lot of interesting transactions and continue to realize substantial returns for our clients in the years to come.”
The most recently acquired properties for the LaSalle Asia Recovery Fund, both located in Kwai Chung, Hong Kong, will be used primarily for cold storage logistic purposes by the tenant, Brilliant Cold Storage Management Limited.