Private equity firm TPG, the parent company of commercial brokerage Cushman & Wakefield, has raised a new $2-billion real estate fund for the purpose of buying brick and mortar real estate. Unlike rival private equity giants like Blackstone and Apollo Global Management, TPG is relatively new to the property sector. The company has invested in real state companies, buying self-storage company LifeStorage in 2014 and Cushman through its subsidiary DTZ. The company, which has $75 billion in assets under management plans to invest the money in high-risk real estate.
The Wall Street Journal reports TPG began raising the fund in early 2014. “This took roughly around the time we expected, maybe a bit longer,” Kelvin Davis, the senior partner at TPG who is co-head of its real-estate business, told the paper. “We had to build some relationships from scratch, and understandably that takes time.”
