Heitman LLC today announced that it has been appointed by Advance Asset Management (“Advance”) in Australia to manage AUD500 million (approximately USD440 million) in listed property investments globally.
The long-only mandate invests in a concentrated portfolio of Asia-Pacific, North American, and European global real estate securities investing in up to 25% of the FTSE EPRA/NAREIT Developed Index, currently less than 80 stocks. The strategy offers investors an actively managed portfolio.
“We are honored to have been selected by Advance for this important new investment mandate. Our investment professionals strive to generate competitive investment returns for our clients throughout the world, and being selected is a wonderful acknowledgement of their hard work” said Kathy Sandstrom, Senior Managing Director of Heitman’s Global Real Estate Securities group. “We look forward to building a long and lasting relationship with Advance.”
Heitman is one of the most experienced public real estate securities investment managers in the industry, having consistently managed real estate portfolios for 25 years. “Investor demand for real estate continues to grow around the world,” said John White, Managing Director and Head of Heitman’s Asia-Pacific Public Real Estate Securities group. “Even in this period of irregular economic growth, occupier demand is showing improvement and new construction is still limited in most markets. Asset classes such as listed real estate, which offer investors an attractive yield, supported in most cases by stocks which are trading at a discount to their tangible asset backing offer a compelling return outlook. Through allocating a considerable amount of capital to listed real estate, we believe that Advance is making a strategic move to enhance exposure to opportunities from the current and long-term expected market conditions for Listed Property.”