London, NY and São Paulo, 10 October 2016 – UBS Asset Management's (UBS-AM) Global Real Estate (GRE) business has established a new initiative in Brazil to meet renewed appetite among international investors for opportunities in the Brazilian property market. GRE will offer direct property investment, as well as equity and debt fund strategies.
UBS-AM has entered into an exclusive partnership with Real Estate Capital (REC), a Brazilian real estate consultancy, under the leadership of Moise Politi, the former CEO and co-founder of Brazilian Finance & Real Estate SA ("BFRE"). This partnership, combining REC's on-the-ground expertise with GRE's global network, will provide investment solutions for international investors in this highly attractive market.
GRE will initially offer products across three investment fund strategies targeted at institutional investors, including:
- Real estate debt, which will seek to address the market shortage in real estate financing;
- Income generating equity, focusing on investment into high-quality income-producing properties – mainly in the office and logistics sectors; and
- Opportunistic residential, which will target the acquisition of constructed units from distressed sellers, with the potential for asset appreciation and capital gains.
All strategies will focus primarily on Brazil’s core markets of Rio de Janeiro and São Paulo.
Ulrich Koerner, President UBS Asset Management, commented: "We continue to see a growing interest in alternative assets from institutional investors globally. We have identified strong demand for Brazilian property investment strategies and are pleased to be expanding our leading global real estate capabilities to meet the needs of our clients."
Thomas Wels, Head of Global Real Estate at UBS-AM, commented: "Following renewed interest from international investors and our extensive research into the local property market, we believe that this is the right time to establish a local presence in Brazil. In REC we have a trusted set of advisors to work alongside our investment committee and proven investment process to develop our offering over the coming years."
Sylvia Brasil Coutinho, Country Head of UBS Group, Brazil, commented: "UBS believes that the Brazilian real estate market now offers a window of opportunity for investors, based on the prominent absolute size of the market, the economic backdrop, and our in-depth market research which has highlighted the potential to deliver risk-adjusted returns, particularly versus developed markets.”
The REC team will be based in UBS's existing office in São Paulo.
Media contact
FTI Consulting
Richard Sunderland / Dido Laurimore / Claire Turvey / Ellie Sweeney
UBSGRE@fticonsulting.com
T. +44-20-3727 1000
UBS Asset Management
UBS Asset Management is a large-scale asset manager, with around 3,5001 employees located in 22 countries. We offer investment capabilities and investment styles across all major traditional and alternative asset classes.
We take a connected approach to find the answers to our clients' investment challenges. Our global capabilities include equity, fixed income, currency, hedge funds, real estate, infrastructure and private equity investment capabilities that can also be combined into customized solutions and multi asset strategies. Complementing our investment offering, our fund services business provides professional white-labelling services including fund set-up, accounting and reporting for traditional and alternative funds.
Invested assets totalled CHF 633 billion (EUR 584 billion, GBP 487 billion, USD 647 billion) as at 30 June 2016. We are a leading fund house in Europe, the third largest international asset manager in Asia, the largest mutual fund manager in Switzerland2 and one of the largest fund of hedge funds and real estate investment managers in the world.
UBS Asset Management's Global Real Estate business actively manages real estate investments of approximately EUR 70.7 billion3 globally and regionally within Asia Pacific, Europe and the US, across the major real estate sectors, making it one of the largest real estate managers worldwide. Its capabilities are focused on core and value-added strategies, but also include other strategies across the risk / return spectrum. These are offered on a global, regional and country basis and through open- and closed-end private funds, REIT's, customized investment structures, multi-manager funds, individually managed accounts and real estate securities.
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