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Hines Launches $1B Fund Targeting Undervalued Properties
Hines has launched the first in its new flagship tactical fund series with U.S. Property Recovery Fund (HUSPRF), targeting an equity raise of $1 billion. With purchasing power projected at $2.5 billion after leverage, the closed-end, diversified fund will target undervalued properties in the 30 largest U.S. markets.
“The ways in which we use real estate have changed drastically over the past 10 years, but the built environment hasn’t always kept pace,” said fund manager Dan Box. “There’s a lot of product that needs to be reimagined and reenergized. In an environment where returns are getting thinner, we believe the right approach is to focus on asset-level value creation and actually boosting net operating incomes rather than just relying on a buy-low, sell-high thesis.”
Concurrently with launching HUSPRF, Hines has acquired a pair of logistics properties in California, representing a total investment of $186 million.
Pictured: Hines headquarters in Houston.
- ◦Sale/Acquisition
- ◦Financing
