Apax Founder Plans $1B Long/Short Real Estate Fund

Apr 23 2007 | 9:21am ET

With many predicting a big turn south for the real estate market, a trio of private equity veterans is putting together a hedge fund to profit from a downturn.

Apax Partners founder Ronald Cohen, George Kountouris, the former head of Deutsche Bank’s real-estate p.e. group, and Nigel King, the former Salomon real estate chief, have founded Portland Capital. The new fund won regulatory approval in January, Financial News reports, and the founders are now in talks with potential investors, hoping to raise between £200 million (US$400 million) and £500 million (US$1 billion). In addition to the £30 million (US$60 million) committed by Cohen, Kountouris and King, the fund has already won the backing of Nathaniel Rothschild and Harry Solomon, the former CEO of foods group Hillsdown. Portland is aiming primarily for family offices and high net-worth investors, according to Financial News.

“I believe property is going through a big transformation at the moment,” Cohen said. “No one has found a way, as yet, to make money in a downward cycle and Portland will have the capacity to do this.”

Financial News reports that Portland is not the only long/short real-estate fund in the works, as both Kempen and Fortis are planning such vehicles.


In Depth

Kettera Q&A: The Advantages of Alternative Investment Platforms

Oct 28 2016 | 5:52pm ET

The past several years have seen a distinct push towards easier and cheaper access...

Lifestyle

Midtown's Plaza District Fades As Manhattan Office Landscape Shifts

Nov 22 2016 | 6:32pm ET

Lower leasing costs, more efficient office space and the hope of projecting an image...

Guest Contributor

Nowhere to Hide: Why the Future of Asset Management Depends on Innovation

Nov 15 2016 | 6:55pm ET

Information technology has reshaped the asset management industry’s periphery,...

 

From the current issue of

Chicago-based independent futures brokerage and clearing firm R.J. O’Brien & Associates (RJO) has hired industry veteran Daniel Staniford as Executive Director, responsible for the firm’s institutional business development in New York and London.

AVAILABLE NOW at BARNES & NOBLE

NEWSTAND LOCATOR