LaSalle launches Canadian Income & Growth Fund IV
LaSalle Investment Management has launched LaSalle Canadian Income & Growth Fund IV, offering institutional investors access to LaSalle’s established property platform and Canada’s flagship opportunistic fund series.
The new fund will invest in properties across the office, retail and warehouse market segments, investing in non-core properties with stable income and upside potential. Investment activity will focus on Canada’s top six metro areas: Vancouver, Calgary, Edmonton, Toronto, Ottawa and Montreal.
Canada has the world’s top ranked banking sector according to the World Economic Forum and the lowest government net debt among the G7 countries according to the IMF, limiting exposure to potential future financial crises. These factors, along with healthy and balanced real estate market fundamentals have helped and will continue to help Canada’s markets avoid sharp pricing volatility. LaSalle forecasts that the Canadian economy will experience improved growth in the 2014-2017 timeframe, allowing the fund to capitalise on properties with solid income growth and capital appreciation potential during the life of the fund.
The Canadian Income and Growth series operates under the management of fund president and Canadian managing director Zelick Altman. CIG I launched in 2003 with CIG II following in 2005 and CIG III in 2009. CIG IV is targeting USD250m in equity, with the first close estimated for June 2013.
Altman says: “The launch of our fourth Canadian income and growth fund demonstrates LaSalle’s continued commitment to, and confidence in, the Canadian real estate market. We’ve seen the Canadian economy strengthen following the economic downturn, with solid real estate fundamentals limiting downside exposure. Canada’s real estate market is active and robust, with financing widely and readily available.”