The London Real Estate Investment Funds team advised Ares Management Corporation (NYSE:ARES) in the final closing of Ares European Property Enhancement Partners III SCSp (“EPEP III” or the “Fund”). The Fund was oversubscribed with approximately €1.5 billion of commitments compared to its €1.0 billion target and is more than twice the size of its 2016 predecessor fund. EPEP III garnered significant demand from a diverse set of investors from Europe, the Americas, Asia and the Middle East, representing a broad array of investor types, such as public pensions, sovereign wealth funds, insurance companies, foundations, family offices and private banks. The Fund received strong support from its incumbent investor base and also attracted a number of investors that are new to both the Ares Real Estate Group and to Ares. Goodwin also assisted the Fund in restructuring its existing obtaining a €250 million subscription-secured revolving credit facility from Sumitomo Mitsui Banking Corporation.
The Fund’s value-add strategy focuses on acquiring institutional-quality, income-producing assets that have the potential for value enhancement. EPEP III invests across key property types in Europe’s largest and most liquid markets and is off to a strong start with over 30% of its capital deployed. To date, the Fund’s investment activity has been focused on logistics and residential, which are currently Ares’ highest conviction real estate sectors. With substantial additional dry powder, the Fund is well-positioned to continue pursuing attractive investments.
Ares Management Corporation is a leading global alternative investment manager offering clients complementary primary and secondary investment solutions across the credit, private equity, real estate and infrastructure asset classes. As of June 30, 2021, including the acquisition of Black Creek Group which closed July 1, 2021, Ares Management Corporation's global platform had approximately $262 billion of assets under management, with approximately 2,000 employees operating across North America, Europe, Asia Pacific and the Middle East.
The cross-border Goodwin team was led by Samantha Lake Coghlan, Niall Dickson, Sam Newsome, Terri Houston, Chloe Capone and George Fagan with assistance from Laura Charkin, Sumiyya Ghauri, Matt Birchall, Jake Simons, Glynn Barwick, Patrick Menasco, Bibek Pandey, David Patton, Sonita Bennitt, Sean Gruver, Bryan Snyder, Paul Lyons, Matthew Stayman, Ross Gillman, Anthony Layton, Nadim Islam, Charles-Henri de Gouvion Saint Cyr and Heiko Penndorf.