EG is pleased to announce that leading Dutch investor, PGGM, has made an equity commitment to the EG Australian Core Enhanced Fund (ACE), joining four Australian investors to give the fund the ability to invest over $1.25 billion.
One of the largest pension funds in the Netherlands, PGGM manages pension assets worth over AUD $400 billion for 3 million participants.
EG ACE is an open-ended, diversified real estate fund. The Fund has already acquired five assets totalling $234 million.
“The initial investment strategy has been to target light industrial and logistics assets in Sydney and Brisbane, with a counter cyclical investment in the Perth office market,” said ACE Fund Manager, Michael Noblet. “Moving forward, we will focus on inner urban industrial assets, resilient well-located office buildings and non-discretionary retail assets”.
“We are delighted to receive the support of PGGM to the ACE Fund,” said EG Executive Director, Roger Parker. “We have fielded significant interest in the strategy from many domestic and offshore investors”.
Senior Director of PGGM, Ronald Bausch said, “We are pleased to invest with EG and the current EG ACE investors. We see the Australian markets resetting and offering good risk-adjusted returns”.
EG is currently considering a number of additional properties for acquisition that satisfy the investment criteria for EG ACE. The Fund strategy seeks to reposition assets to core and deliver superior risk-adjusted returns. EG uses big data analytics together with its own proprietary risk management platform, PRISMS®, to support its investment decision making.
Founded in 2000, EG has $4.3 billion under management on behalf of super funds and private wealth clients to generate outstanding returns with lasting social impact. With $3.9 billion in development pipeline, and 16.7% per annum in realised IRR for institutional funds, EG is committed to finding a better path to better returns.