LRI Group unveils private debt real estate fund

Luxembourg-based investment services company, LRI Group, has announced the launch of a private debt real estate fund.

Known as the Aggregate Debt Fund, LRI teamed up with Aggregate Debt Advisory GmbH – an advisory firm specialising in real estate debt – for the product that is aimed at pension funds.

The core strategy involves creating a diversified portfolio of mezzanine loans, with a focus on residential real estate development in Germany. It is seeking an annual return of 6 to 7% over a 7-year period.

LRI Group’s managing director, Frank Alexander de Boer confirmed that LRI will be acting as the alternative investment fund manager. Aggregate will be the investment advisor.

Norbert Kickum, managing director of Aggregate said: “Currently there are few comparable funds on the market that enable professional investors’ access to residential development finance through mezzanine capital in core locations.

“Especially with regard to Solvency II regulated companies, real estate debt offers an advantage over leveraged core real estate funds,” he added.

©2018 funds europe

HAVE YOU READ?

THOUGHT LEADERSHIP

The tension between urgency and inaction will continue to influence sustainability discussions in 2024, as reflected in the trends report from S&P Global.
FIND OUT MORE
This white paper outlines key challenges impeding the growth of private markets and explores how technological innovation can provide solutions to unlock access to private market funds for a growing…
DOWNLOAD NOW

CLOUD DATA PLATFORMS

Luxembourg is one of the world’s premiere centres for cross-border distribution of investment funds. Read our special regional coverage, coinciding with the annual ALFI European Asset Management Conference.
READ MORE

PRIVATE MARKETS FUND ADMIN REPORT

Private_Markets_Fund_Admin_Report

LATEST PODCAST