Mingtiandi

Asia real estate and outbound investment news

  • Facebook
  • LinkedIn
  • RSS
  • Twitter
Sign Up / Login Logout

Lost your password?
Register
Forgotten Password
Cancel

Register For This Site

A password will be e-mailed to you.

  • Capital Markets
  • Events
    • 2021 Mingtiandi Event Calendar
    • Join the Mingtiandi Asia Value-Add Forum 2021
    • Join the Mingtiandi Multi-Family Investment Forum 2021
    • Join the Mingtiandi Logistics Real Estate Forum 2021
    • Join the Mingtiandi Sustainable Real Estate Forum 2021
    • Join the Mingtiandi Data Centre Forum 2021
    • Join the Mingtiandi Office Strategies Forum 2021
    • Join the Mingtiandi Proptech Forum in November
    • More Events
  • MTD TV
  • People
  • Logistics
  • Asia Outbound
  • Retail
  • Design & Construction
  • Research & Policy
  • Advertise

Alpha Investment Partners Reaches $295M First Close on Latest Asia Fund

2020/10/22 by Michael Cole Leave a Comment

MEGURO VILLA GARDEN

Alpha says it achieved a 70% IRR on its sale of Tokyo’s Meguro Villa Garden last year

Just ten months after launching its latest value-add fund, Alpha Investment Partners has raised $295 million, including co-investment, for the Asia Pacific real estate vehicle, according to a statement this week.

The financing has allowed the private fund management division of Singapore’s Keppel Capital to call a first closing on Alpha Asia Macro Trends Fund IV, with a goal of reaching a target capitalisation of $1 billion in equity to be invested in opportunities arising in major cities around the region.

“In the current market conditions, we are monitoring developments for potential dislocations where stress is being observed, which create opportunities for investments with good growth potential,” Alvin Mah, CEO of Alpha Investment Partners said in a statement.

Alpha had first announced version four in the fund series in February of this year, and the Temasek Holdings-backed fund manager expects that, when fully leveraged and invested, Alpha Asia Macro Trends Fund IV will have assets under management of up to $2.5 billion.

Taking Aim at APAC Hubs

Now dubbed AAMTF IV, the new fund follows an approach similar to its predecessors in targetting multiple asset classes across APAC’s gateway cities. Alpha says that the fund will look at its home city of Singapore, as well as Greater China hubs such as Beijing, Shanghai and Hong Kong, while also venturing into Tokyo and Seoul. In Australia, the vehicle will include the cities of Sydney, Melbourne and Brisbane as within its scope.

Alpha Investment Partners CEO Alvin Mah

Alpha Investment Partners CEO Alvin Mah

The Asia Macro Trends series has been largely sector-agnostic in pursuing deals, with Alpha saying that this latest fund will pursue office, business park, logistics, retail and residential opportunities in in its search for returns.

While investing the $1.1 billion which it had raised for AAMTF III, the previous episode in its value-add series, Alpha had chosen assets from around the region, including teaming up with Allianz Real Estate one year ago to jointly invest €1 billion ($1.1 billion) to acquire an 85 percent stake in a Beijing commercial complex.

Alpha had also worked together with Allianz Real Estate in 2018 when the two investors teamed up to purchase a building in Shanghai’s Bay Valley business park for $90 million.

Notching Tokyo Returns

The fund manager has not yet disclosed the backers of its latest fund, however, it mentioned that the vehicle has received strong support from partners from insurers, endowments and pension fund managers.

This fourth installment in its APAC value-add series comes 13 years after Alpha kicked off the Asia Macro Trends effort in 2007. Since 2004, the fund manager has executed 180 transactions for its managed funds, with those deals worth more than $24 billion.

In addition to its office acquisitions in mainland China, in its AAMTF III effort, Alpha last year disposed of the Meguro Villa Garden office property in Tokyo, achieving an equity multiple of 2.5 times and an internal rate of return of about 70 percent on the investment, according to the company.

In December 2018 Alpha had already sold off Kanda 282, an 11,871 square metre (127,000 square foot) Tokyo office property which it also acquired under its AAMTF III fund. The company announced that it had achieved a 25 percent internal rate of return on its investment through the sale, after acquiring the Japanese asset 28 months earlier.

Note: This article has been updated to show that Alpha Investment Partners first launched AAMTF IV in October of 2019. An earlier version had indicated that the fund was launched in February of this year. Mingtiandi regrets the misunderstanding.

Related Stories

  • Keppel Aims to Raise $1B for Alpha Asia Fund IVKeppel Aims to Raise $1B for Alpha Asia Fund IV
  • Alpha Investment Partners Scores $267M Separate Account Mandate From PGGMAlpha Investment Partners Scores $267M Separate Account Mandate From PGGM
  • Keppel Debuts 2nd Data Centre Fund With $500M+ First ClosingKeppel Debuts 2nd Data Centre Fund With $500M+ First Closing
  • Keppel Land, Alpha Acquire RMB 4.6B Shanghai Yi Fang TowerKeppel Land, Alpha Acquire RMB 4.6B Shanghai Yi Fang Tower

Share this now

  • LinkedIn
  • Share
  • Tweet
  • Email

Filed Under: Finance Tagged With: AAMTF IV, Alpha Asia Macro Trends Fund IV, Alpha Investment Partners, daily-sp, Featured, Keppel Capital

Office Investment

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

This site uses Akismet to reduce spam. Learn how your comment data is processed.

Get Mingtiandi Delivered

Office Investment

MTD TV

MTD TV Value ADd

Tech, Green Loans Grab Spotlight in Final Session of MTD TV Value-Add Forum

Data Centre Operators Tackle APAC Expansion Challenges in MTD TV Panel

More MTD TV Videos

Latest Stories

Phile Pearce ESR

Blackstone Selling $2.9B Aussie Logistics Portfolio to ESR-GIC Partnership

Muktar Widjaja

Indonesia’s Sinar Mas Offloads Building in London’s Soho for $99M

Wong Chuk Hang Station

Wheelock Wins Rights to MTR Wong Chuk Hang Project and More Asia Real Estate Headlines

Sponsored Features

Tony Horrell

Colliers’ Global Investor Sentiment Report Anticipates Up to 50% Surge in Investment in 2021 Sponsored Feature

Andrew-Slevin-John-Foord (4)

Insurtech to Help Address Underinsurance Across Asian Real Estate Assets in 2021 Sponsored Feature

CK Lau

Asia Pacific Logistics Sector: Increasingly Varied Sector Requires Multiple Approaches Sponsored Feature

More Sponsored Features>>

MTD-QR-Code-320

Top Stories

KKR, Abu Dhabi Fund Back A$1B Logos Development Venture in AustraliaKKR, Abu Dhabi Fund Back A$1B Logos Development Venture in Australia

Blackstone Selling $2.9B Aussie Logistics Portfolio to ESR-GIC PartnershipBlackstone Selling $2.9B Aussie Logistics Portfolio to ESR-GIC Partnership

Hongkong Land Leases Exchange Square Floors to S&P Despite Central…Hongkong Land Leases Exchange Square Floors to S&P Despite Central Market Slide


Connect with Mingtiandi

  • Facebook
  • LinkedIn
  • RSS
  • Twitter

Real Estate News

  • Capital Markets
  • Events
    • 2021 Mingtiandi Event Calendar
    • Join the Mingtiandi Asia Value-Add Forum 2021
    • Join the Mingtiandi Multi-Family Investment Forum 2021
    • Join the Mingtiandi Logistics Real Estate Forum 2021
    • Join the Mingtiandi Sustainable Real Estate Forum 2021
    • Join the Mingtiandi Data Centre Forum 2021
    • Join the Mingtiandi Office Strategies Forum 2021
    • Join the Mingtiandi Proptech Forum in November
    • More Events
  • MTD TV
  • People
  • Logistics
  • Asia Outbound
  • Retail
  • Design & Construction
  • Research & Policy
  • Advertise

More Mingtiandi

  • About Mingtiandi
  • Contact Mingtiandi
  • Newsletter Subscription
  • Terms of Use
  • Privacy
  • Advertise
  • Join the Mingtiandi Team