Forum Partners Investment Management and La Française have entered into a strategic partnership encompassing a substantial capital commitment to Forum’s suite of real estate investment strategies.
The companies will also collaborate on a series of new European investment products, including a joint venture to develop European direct real estate products.
In addition, La Française, an affiliate of Crédit Mutuel Nord Europe (CMNE), will acquire a 24.9 per cent interest in Forum through an issuance of new shares.
Forum Partners is an independent real estate investment management firm with USD5.7bn of capital committed and under advice. La Française is one of Europe’s largest fund managers, with assets under management of USD50bn of which USD9bn is in real estate.
The partnership will combine Forum’s global real estate private equity, debt and securities capabilities with La Française’s leadership in French direct real estate and senior debt. In support of this partnership, CMNE and La Française will allocate over USD600m in capital across each of Forum’s principal investment strategies, beginning with over USD200m to Forum’s European debt platform, including mezzanine and senior debt. La Française will also commit capital to Forum’s global securities business, to its Asian private equity strategy and to potential expansion opportunities in the Americas. In addition, both Forum and La Française will gain access to the other party’s institutional and retail distribution network globally.
Xavier Lepine, president of La Française, says: “Forum Partners’ expertise, unique approach to real estate investing and excellent international reputation in real estate private equity and listed securities complement our firm in terms of respective areas of expertise, geographic focus and client bases, and align closely with our objective to expand our real estate capabilities internationally. Through our strategic partnership with Forum we are confident that we can create a global platform that can successfully take on the exciting opportunities in real estate. We look forward to providing clients a complete and original range of real estate products and anticipate Forum will be a significant contributor to our international development.”
Russell Platt (pictured), chief executive of Forum Partners, says: “This new strategic partnership comes at an important time in the growth of Forum as well as the evolution of the real estate investment management industry. Volatile markets and on-going consolidation have presented extraordinary growth opportunities for firms with the foresight and experience to recognize the occasion. La Française is well-known for its real estate expertise as well as innovative product development and distribution. This partnership will prove invaluable to Forum as we continue to expand our products and capabilities for our capital partners.”