PMT & MN invest EUR 850 million in Pan European Real Estate

PMT & MN invest EUR 850 million in Pan European Real Estate

Real Estate Pensionfunds
  • PMT cornerstones Morgan Stanley Prime Europe with EUR 250 million
  • PMT re-ups commitments at 5 other managers with EUR 600 million

PMT, having successfully invested in earlier Morgan Stanley European and North American vehicles, has committed EUR 250 million to the new Pan European core fund Morgan Stanley Prime Europe. PMT’s investment represents 50% of the commitments of the EUR 500 million of capital Morgan Stanley succeeded to raise in the initial fundraising round.

Besides the commitment to Morgan Stanley Prime Europe, PMT also committed another EUR 600 million in various, already contracted, core real estate managers. Dutch Metal Workers pension fund PMT (EUR 88 billion AuM) has been building a core real estate portfolio since 2014, through her Fiduciary Manager MN. Since then, PMT has committed to stabilized funds and has acted as a cornerstone investor in several new initiated core real estate funds. The program’s latest addition, after 2 years of intensive conversations and negotiations, is Morgan Stanley Prime Europe. Morgan Stanley, one of the largest real asset managers of the world, has set up this vehicle based on their US and Asian models, to serve institutional clients.

Besides the commitment to Morgan Stanley Prime Europe, PMT also committed another EUR 600 million in various, already contracted, core real estate managers. These commitments will be invested in the period 2020-2023, with a focus on logistics, residential and offices in major urban areas throughout Europe. The strategy of the portfolio is based on getting returns mainly from income, taking into account the possibilities arising from several megatrends (especially urbanization, demographic shifts and digitalization).

PMT’s CIO Hartwig Liersch commented: “European core real estate offers a right fit for the strategic goals that PMT has for its investment portfolio. This investment in a new core real estate fund like Morgan Stanley Prime Europe is another logical step in the creation of a strong income producing real estate portfolio”.

MN’s Real Estate Principle Jeroen Reijnoudt said: “These investments in various managers throughout Europe are a result of careful analysis by the MN team of what the PMT portfolio needs from a return, sectoral and regional perspective and how to get there in the most efficient and cost effective way possible.”