Bank of Ireland Private Banking has made its second foray into the Asian property market with a commitment to invest $130 million (€90 million) in a new Asian Real Estate Fund. Claire Shoesmithreports.
The fund will be invested in a broad range of property sectors, including office, retail, residential and hotel through the Macquarie Global Property Asian Fund III. The bank is targeting returns of more than 15 per cent a year over nine years.
Peter Collins, property director at Bank of Ireland Private Banking, said the bank has been increasing the amount of money it puts into Asian property and equities for a number of years now and expects to continue this trend in the future.
He said the real challenge is gaining access to property in the region and as a result welcomed the bank's decision to work with Macquarie Global Property Advisors, a recognised leader in Asian property markets with a local presence in 12 Asian markets.
"In Macquarie's longer-running property funds across Asia and Europe, they have generated an average return of 29 per cent per annum," said Mr Collins.
