Brookfield Closes PE Fund at $4B

Brookfield’s Toronto headquarters; the firm has recently closed two 10-figure funds and is marketing a new one.

TORONTO—Brookfield Asset Management said Wednesday it had closed on its latest private equity fund with US$4 billion in commitments. Separately, PERE reported that the alternative asset manager has launched a core-plus real estate initiative, targeting gateway markets across North America. The new private equity fund, Brookfield Capital Partners IV, exceeded its original US$3.5-billion target, Brookfield said Wednesday. Brookfield has put US$1 billion into the fund, with other investors including public and private pension plans, sovereign wealth funds, financial institutions, endowments and foundations and family offices. “We are grateful for the strong support we received from our investors, and our global team of investment professionals is dedicated to prudently deploying capital on their behalf, acquiring businesses with strong cash flow potential,” says Cyrus Madon, head of private equity operations at Brookfield. The fund already has invested more than US$1 billion in businesses consistent with its investment strategy, including an integrated facilities management company, a global graphite electrode manufacturer and an Australian offshore oil and gas producer. Brookfield’s private equity team ranges across the US, Canada, Europe, India, Australia and South America. The new core-plus venture has begun marketing its first fund, Brookfield Premier Real Estate Partners, PERE reported Wednesday. It will be seeded with assets spanning multiple property types and currently held on Brookfield’s balance sheet, according to PERE , which cited unnamed sources said to be familiar with the matter. Brookfield has named 12-year veteran Ariel Szin to serve as head of the new core-plus business, according to PERE . An SVP, Szin previously was responsible for the firm’s platform- and entity-level opportunistic real estate investments. In mid-April, Brookfield closed its latest global opportunity fund, Brookfield Strategic Real Estate Partners II, at $9 billion, more than twice the size of its predecessor. The company has been investing globally in opportunistic real estate since 2006.