TPG Angelo Gordon raises nearly €2.2b for European real estate fund

TPG Angelo Gordon has closed its European Real Estate Fund IV, raising nearly $2.5 bn (€2.2 bn), including $2.27 bn (€2.0 bn) in commitments and $214 mln (€190 mln) in co-investments. 

Anuj Mittal 
Head of Europe Real Estate - TPG Angelo Gordon

This fund, their largest European real estate fund yet, surpasses its predecessor by 50%. 
Fund IV has strong backing from a diverse group of global investors, including many returning from Fund III. A significant portion of the capital comes from Middle Eastern and Asia-Pacific investors. The fund is already 20% committed, with a promising pipeline of investments, particularly given the current European real estate market impacted by rising interest rates. Recent acquisitions include residential properties in the Netherlands, a redevelopment site in Paris, and industrial outdoor storage in the UK.
Fund IV will focus on value-add opportunities and sub-performing assets across various property types in the UK, Western Europe, and the Nordics. 
Anuj Mittal, head of TPG Angelo Gordon's Europe Real Estate, said: “We began investing in Europe after the GFC, and this fundraise reflects strong investor confidence in our strategy, track record, team, and the compelling investment opportunities we are sourcing through our proprietary networks.  We believe this market environment is exactly where we thrive – valuation stress and distress along with structural shifts in supply and demand across asset classes is already generating a very compelling set of opportunities for investors with capital and experience.”
 Tom Rowley, co-portfolio manager, TPG Angelo Gordon's Europe Real Estate, commented: “Our long-term and mutually beneficial relationships with nearly 50 local operating partners provide us a distinct sourcing advantage in a fragmented European market. Our established network enables us to generate attractive off-market and proprietary opportunities, which are only multiplying under the dual pressures of normalizing rates and broader economic uncertainty. We look forward to executing on the meaningful opportunities ahead.”
Since 2009, TPG Angelo Gordon's European real estate business has invested over $10 bn (€8.9 bn) across more than 258 properties.