TPG closed its first dedicated real estate fund, TPG Real Estate Partners II, with more than $2 billion — exceeding its fundraising target, said a TPG spokesman.
The fund will invest in real estate platforms and “property-rich companies,” a news release stated. TPG’s real estate division has invested more than $3 billion of equity in both residential properties and commercial properties in North American and Europe.
The fund’s fundraising target was between $1.5 billion and $2 billion, said sources familiar with the situation. The real estate fund closed with about $2.1 billion.
TPG has been investing in real estate since 2009 through its buyout fund and separate accounts with investors, including the $79.1 billion New Jersey Division of Investment and Ivanhoe Cambridge, the real estate subsidiary of the Caisse de Depot et Placement du Quebec, Montreal, which manages C$240.8 billion ($183 billion) in Quebec pension and other assets these sources said.
Investors in the fund include the New Jersey Division of Investment, Trenton, and the $25 billion Texas Municipal Retirement System, Austin.