Japanese investment firm Mitsui & Co Ltd has injected up to $500 million in US-based real assets company CIM Group LLC in a strategic partnership in real estate and infrastructure investments across North America.
CIM will use 20 per cent of the investment proceeds to fund its continued growth.
“Mitsui will also commit capital to multiple CIM funds,” CIM said in its statement, noting total investment will be $450 to $550 million with adjustments based on terms of the agreement.
Founders and principals of CIM will continue to oversee and control the company.
The US real estate asset management market is reportedly the largest globally.
“Our investment in CIM was the culmination of a systematic search for a best-in-class manager in the real-asset management business. Investing in CIM is consistent with our strategic plan to expand Mitsui’s real-asset management business to the US and to enhance Mitsui’s global assets under management,” said Mitsui president and CEO Tatsuo Yasunaga.
CIM Group co-founder and principal Avi Shemesh said they aim to be the first choice for Japanese investors interested in real estate and infrastructure investments in North America.
“This partnership will allow CIM to better meet the growing needs of our investors,” Shemesh said.
Mitsui has a proven track record in listing and managing public Japanese REITs, private fund management, and partnering with investment managers.
Mitsui continues to be a leading advisor to Japanese institutional investors working through its wholly-owned subsidiary the Japan Alternative Investment Co Ltd.