UK’s TH Real Estate forms $2 billion Asia Pacific focused fund

UK-based real estate investment trust TH Real Estate has announced it has formed an Asia Pacific-focused fund.

With a total size of $2 billion, the fund has also received a commitment from U.S.-based financial services company Teachers Insurance and Annuity Association of America worth $200 million.

The new fund, the fourth in the firm’s global resilient cities series, will invest in 17 selected Asia Pacific cities, including Sydney, Tokyo, Brisbane, Singapore and Seoul and focuses on assets across the office, retail, residential and industrial sectors which are set to benefit from long-term structural trends, including demographic change, urbanization and technology.

Aimed at institutional investors, the new fund is targeting a long-term return of seven to 10 percent per annum. The fund intends to raise $2 billion over a five-year horizon.