One of Paladin Realty Partners’ managing directors with the firm’s emerging markets platform has left the company. Although representatives from Paladin declined to comment, sources familiar with the situation have confirmed that Philip Fitzgerald, managing director of emerging markets, has left the firm to pursue other opportunities.
At Paladin, Fitzgerald was part of the team that ran the firm’s Latin American investment platform, where he was responsible for helping originate new investments, negotiating joint ventures and managing and disposing of assets in the region. He focused primarily on residential, resort and commercial projects in Latin America, as well as managing the firm’s net lease platform.
PERE understands that Fitzgerald’s departure from Paladin was amicable, with sources confirming that Paladin does not have any immediate plans to fill his position. Instead, managing directors Jay Hartman, Axel Chaves and Frederick Gortner will absorb Fitzgerald’s responsibilities, effective immediately. It is unclear what Fitzgerald’s current plans are, as he could not be reached for comment at press time.
Prior to joining Paladin in 1998, Fitzgerald was a founding partner of Griffin Capital, a boutique investment banking firm specialising in originating, structuring and distributing debt and equity securities for real estate and related transactions. Previously, he was an associate in the real estate finance group of Jefferies & Company in Los Angeles, where he performed marketing and client relations activities and was responsible for closing debt and equity transactions.
Fitzgerald has been working in Latin America in various capacities since 1992. He also has been a member of various industry organisations, including the Pension Real Estate Association, the Emerging Markets Private Equity Association and the Urban Land Institute, where he serves on the Global Exchange Council.
Meanwhile, Paladin has been very busy with investment activity in Latin America of late. In December, it was announced that the firm was gearing up to roll out Paladin Realty Latin America Investors IV, a commingled fund seeking $400 million to $600 million in commitments to target low- and middle-income for-sale housing and opportunistic commercial and distressed situations. The fund, which is expected to have an investment pipeline of more than $1 billion over a three-year period, will invest 50 percent to 65 percent of its total capital in Brazil and up to 25 percent each in Peru, Costa Rica, Colombia, Chile and Mexico.
In addition, it was revealed in March that Paladin had formed a new homebuilding joint venture in Monterrey, Mexico, with local real estate company Orange, Ltd. Paladin committed $20 million to the venture on behalf of Paladin Realty Latin America Investors III, which closed on $454 million in 2009. The Orange joint venture is targeting the middle-income residential market in Monterrey, which is Mexico’s second-wealthiest city after Mexico City and is seeing increasing demand for secure residential communities.
Since its founding in 1995, Paladin has invested in more than $5 billion in assets across its three Latin America funds, which account for about 80 percent of its $970 million in assets under management.