Morgan Stanley Real Estate Investing has raised $3.1 billion for its latest global opportunistic real estate fund. Fundraising for the North Haven Real Estate Fund X Global (G10) exceeded the original target. The previous fund, North Haven Real Estate Fund IX Global, raised $2.73 billion in December 2017.
A group of public and private pension funds, sovereign wealth funds, insurance companies, and individuals make up the investor group. More than 80% of the institutional capital commitments came from existing North Haven Real Estate clients.
The $65.6 billion Maryland State Retirement and Pension System made a $100 million commitment to the fund earlier this year.
Capital deployment for G10 has begun and Morgan Stanley says there is a substantial pipeline of opportunities.
“In today’s environment, sophisticated investors are increasing their allocations to real assets, seeking the strong returns, diversification and inflation protection that real estate and infrastructure can provide,” said John Klopp, head of global real assets for Morgan Stanley Investment Management.
Dan Simkowitz, head of Morgan Stanley Investment Management, added: “The strong investor demand for this fund underscores our continued focus on providing public and private markets solutions across real estate and infrastructure which meet our clients’ objectives.”