SWITZERLAND – Credit Suisse said its new International Real Estate Fund has exceeded its original issue volume target of CHF500m (€322m) by 17%.
The issue value of the fund, which the company says is the first Swiss fund investing in international real estate, was fixed at CHF585m, compared with the original CHF500m.
The fund will be managed by Credit Suisse Asset Management and Daniel Tochtermann. He joined last June as director and head of international real estate products from consulting firm Wueest & Partners and will supervise every aspect of the operations.
Some 230 institutional investors each paid at least CHF100,000 into the fund, Credit Suisse said.
Tochtermann told IPE he thought more institutional investors on the look out for diversification would eventually contribute in the future.
“This volume will allow the fund to make investments totalling some CHF1bn, including borrowed capital, in an initial phase,” Credit Suisse said in a statement.
The fund will acquire commercial real estate in selected markets in Europe and North America offering “flexible use, a high rental level and sustainable income potential”.
It also plans to invests in the Asia-Pacific region later,
The issue period lasted from December 1 2004 to January 14 2005. The fund will also have its first annual distribution in April 2006.