"AIP had around 70 properties they wanted to liquidate, but they couldn't find a buyer for the entire portfolio. We chose 30 well-located properties in strong markets. The remaining 40 were merged into DDR, a major shareholder and retail REIT," explains Bratt. "Much of the portfolio we acquired is located in growth markets with supply constraints and low vacancy rates where we see significant upside potential, translating into attractive returns for VEF IV and our clients."

The portfolio was purchased on behalf of Lend Lease's Value Enhancement Funds IV, a real estate opportunity fund for institutional investors, and two institutional investor client accounts. VEF IV is the fourth in a series of closed-end, enhanced return real estate investment funds designed to take advantage of inefficiencies at varying stages in the real estate cycle.

One of Lend Lease's most recent transactions was the purchase of Franklin Select Realty Trust's seven-property portfolio for $131.5 million on behalf of Lend Lease's VEF III, and the acquisition of interests in seven prime office locations from Equity Office Properties for $533.9 million on behalf of the Australian property trust, Lend Lease US Office Trust.