Singapore-based SilkRoad Property Partners, has achieved the first close of its maiden Asia fund – SilkRoad Asia Value Partners LP – and has raised $230 million of the targeted $350 million, DEALSTREETASIA has learnt.
SilkRoad is looking at the final closure of this vehicle, which will have an eight-year term circle, over the next 18 months.
In layman’s terms, ‘first close’ means the fund has reached a certain threshold in terms of the amount raised, and it can begin making investments and close deals, even as new LPs (Limited Partners or investors) continue to join it. Final close implies that the fund has reached the second threshold, post which no LPs can join it.
SilkRoad is expected to invest a part of the money raised from the new fund, in commercial property in the leading Asian cities, including Singapore, Beijing and Hong Kong.
The firm is headed by Peter Wittendorp who also serves as the portfolio manager for AEW Value Investors Asia, a $557 million closed end fund launched in 2007. SilkRoad was spun off the AEW’s Asia platform and established in 2012 as an independent real estate investment management firm focused on Asia.
Apart from Wittendorp, SilkRoad has several other former AEW executives in the management team, including Nick Kearns who is responsible for Acquisitions & Asset Management; Berend Poppe, Corporate Finance & Acquisitions; Eng Chong Oh, Due Diligence & Acquisitions; Iris Mak, Acquisitions & Asset Management; and Mark Khoo who oversees research.
DEALSTREETASIA had earlier reported that SC Capital’s latest investment vehicle (RECAP IV Fund) has been oversubscribed by about $500 million. The PE firm plans its final closure at around $800 million, which is set to happen by the end of this calendar year, although this could not be verified independently, by this publication.