BMO Real Estate Partners (BMO REP) has launched the second fund in its Best Value Europe series, Best Value Europe II (BVE II), following seed commitments from repeat investors.
This ensures BMO REP can continue capitalizing on the strong pipeline of investments already established for the fund, following its initial acquisitions of two prime assets in Verona and Madrid for a total of €39 million ($46 million).
The short-term objective for the fund is a gross asset value of €500 million ($590 million) and then growing in the medium-term upwards of €1 billion ($1.2 billion). Like its predecessor, which is now more than 90 percent invested with a portfolio of 12 assets totaling more that €700 million ($830 million), BVE II will focus on selective, high-quality retail investment opportunities in prime shopping streets within major European cities.
The third property acquired on behalf of the fund is a trophy asset on Avenida da Liberdade 108, Lisbon’s top luxury shopping destination. The property has been acquired off market for €15.2 million ($18 million). The asset is a fully refurbished mixed-use building comprising 23,000 square feet, including offices and a retail unit that is let to Michael Kors.
BVE II represents the fifth high street retail strategy for BMO REP. The firm has a total of more than €2.7 billion ($3.2 billion) of high street retail assets under management across Europe.