Citigroup Property Investors (CPI), the private equity real estate arm of US financial service company Citigroup, announced the final close of CPI Capital Partners Asia Pacific, a $1.3 billion (€991 million) fund that is focused on property and real estate-related assets throughout the Asia Pacific region, with a particular focus on China and India.
“We received strong investor interest for the fund,” Joseph Azrack, president and chief executive officer of CPI, said in a statement. “Asia is a compelling market for private equity real estate investments and the CPI Asia Pacific team is well positioned to find appropriate opportunities in the region.”
The firm’s Hong Kong-based investment team, led by managing director David Schaefer, has already invested 40 percent of the fund, according to a press release. Citigroup also contributed $200 million to the vehicle, the statement said.
In December, CPI closed its European property fund on €1.2 billion to invest in real estate on the Continent. That fund has a primary focus on Western Europe, including Germany, and a secondary focus on growth markets in Central and Southern Europe.
Before the final close, the fund had made a number of investments including a €250 million minority stake in Deutsche Annington, the largest private owner of German residential property. Citigroup was a co-investor alongside UK private equity firm Terra Firma, which purchased the portfolio in 2005.
Citigroup committed €200 million to its European property vehicle.