NEW YORK, June 22, 2015 /PRNewswire/
-- AllianceBernstein L.P. ("AB"), a leading global investment
management firm, today announced the closing of U.S. Real Estate
Partners II L.P. ("ABREP II" or "The Fund"), with total commitments
of $1.2 billion, surpassing its
$1 billion target. ABREP II closed in
less than 12 months, securing commitments from all previous
institutional investors in the $680
million predecessor fund, ABREP I, while also further
growing and diversifying its client base to include new pension
funds in the U.S., Canada and
Europe, insurers, endowments and
foundations, family offices and individual investors.
ABREP II will seek to capitalize on a compelling environment for
opportunistic special situations investing across the U.S. real
estate markets. The strategy remains consistent with that of ABREP
I, which invested in a variety of products including multifamily,
office, hospitality and land across a spectrum of investment
profiles ranging from cash-flowing assets to major repositioning
and development. To date, ABREP II has committed approximately
$215 million through six
investments.
"The fact that we were able to raise more than $1 billion in such a short period of time is a
testament to the confidence the marketplace has in the team we have
assembled at AB, our investment discipline, and our track record,"
said Jay Nydick, Co-CIO of AB's Real
Estate Group.
The Fund is a major step in the continued growth and evolution
of AB's Real Estate Group. Formed in 2009 to create a leading
private real estate platform, AB's Real Estate Group has now closed
nearly $4 billion in capital
commitments across dedicated opportunistic private equity and debt
whole loan strategies. In 2013, AB expanded its real estate
platform with the launch of its first commercial real estate debt
fund, which raised $750 million. The
strategy continues to resonate with investors as AB has received
commitments of $610 million to its
second commercial real estate debt fund as of the end of last
quarter.
"We are focused on building a premier real estate franchise at
AB," noted Brahm Cramer, Co-CIO of
AB's Real Estate Group. "The depth and breadth of our team coupled
with our proprietary access to AB's outstanding credit and research
analysts are key differentiators that enable us to deliver superior
outcomes for both our investors and our operating partners."
AB Continues to Expand its Alts Platform and Surpasses
$20B in Assets
Real estate is just one way that AB's alternatives platform
continued to expand in response to client demand for
diversification and uncorrelated investment outcomes. Today, this
platform totals more than $20 billion
in assets, and includes multi-manager offerings, absolute return
equity and fixed income strategies, and a growing roster of private
market offerings targeting commercial and residential real estate,
middle market lending, and infrastructure. Key catalysts in
building this platform include the hiring in 2009 of veteran hedge
fund investors Marc Gamsin and
Greg Outcalt from SunAmerica, who
now oversee AB's multi-manager offerings, and the 2011 hiring of
Kurt Feuerman and several members of
his team from Caxton Associates, who now manage AB's long/short US
equity strategy.
"We're increasingly being asked by our clients to find new and
creative ways to allocate capital across the spectrum of
alternative investment opportunities," said Chris Bricker, head of AB's Alternative
Investments. "Through a combination of building, buying and
partnering, we have taken a very client-centric approach in seeking
to provide investors with the most comprehensive alternatives
strategies to meet their evolving needs for diversification and
additional alpha."
About AB
AB is a leading global investment management
firm that offers high-quality research and diversified investment
services to institutional investors, individuals and private wealth
clients in major world markets.
As of March 31, 2015,
AllianceBernstein Holding L.P. owned approximately 36.8% of the
issued and outstanding AB Units and AXA, one of the largest global
financial services organizations, owned an approximate 62.7%
economic interest in AB.
Additional information about AB may be found on our
website, www.abglobal.com.
This material is provided for informational purposes
only
Under no circumstances may any information contained
herein be construed as investment advice. This communication is not
an offer for the purchase or sale of any financial instrument,
product or services sponsored or provided by AB. The information
contained herein reflects views of AB or its affiliates and sources
it believes are reliable as of the date of this material and may
change at any time after the date of this communication. Investors
should discuss their individual circumstances with their
appropriate investment professionals and read the applicable
offering document(s) carefully before making any investment
decision. AB and its affiliates may have positions in, and
may effect transactions in, the markets and industry sectors
described herein. This communication is not intended for public use
or additional distribution and is limited only to recipients who
are both "qualified purchasers" under Section 3(c)(7) of the
Investment Company Act of 1940, as amended, and "accredited
investors" under the Securities Act of 1933, as amended.
A Word about Risk
The Fund is an alternative
investment strategy that could be considered to involve a high
degree of risk, and is designed for investors who understand and
are willing to accept these risks. There can be no assurance
that any alternative investment fund will achieve its investment
objectives. The Fund will not be registered with securities
regulators and will be subject to reduced regulatory oversight.
Performance compensation may create an incentive to make riskier
investments. Alternative investments such as the Fund may involve
higher fees and are subject to limitations on transferability and
liquidity. The Fund is subject to strategy-specific risks,
including risks associated with investments in real estate and
illiquid assets, counterparty credit exposure, hedging, defaults,
and the use of derivatives and leverage. A more detailed
discussion of risk factors can be found in the applicable offering
document(s). Forward-looking information in this material is
subject to inherent limitations. Actual results will vary and the
variations may be material.
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SOURCE AllianceBernstein L.P.