Hines, the US developer and manager of real estate, is seeking to raise up to $3.5 billion in an initial public offering of Hines Global REIT.
The Houston-based company, which manages a range of closed ended funds and joint venture mandates, said shares in the public non-traded real estate investment trust would be sold through a network of broker dealers and financial advisors across the US.
The new vehicle would invest in “quality” commercial real estate properties and other real estate equity and debt investments, including office, retail, industrial and multi-family in both the U.S. and internationally. The company said: “In addition to attempting to capitalize on current distress in the market to acquire attractive properties at historically low prices, Hines Global REIT will seek to make tactical investments that may offer value-add potential.”
Charles Hazen, president of Hines Global REIT, said in a statement the company would be seeking out “undervalued assets” as well as “aggressively pursuing” opportunities in markets around the world, which may offer additional diversification and risk-adjusted returns.
He said: “We will have the advantage of tenure and expertise in developed markets as well as in emerging markets such as Brazil, China, Russia, Poland and India.”
Hines’ first non-traded public REIT, Hines Real Estate Investment Trust, was established in 2004. To date, that REIT has raised around $2.4 billion.