M7 Real Estate holds first close of European fund

M7 Real Estate has held a first close for its first Continental European real estate fund. M7 European Real Estate Investment Partners I has raised approximately €16 million ($18 million) of equity.

The fund is purchasing an eight-property portfolio consisting of a variety of properties across Germany. The purchase should be completed by September and includes 38,350 square meters of space made up of four supermarkets, three retail warehouses and a retail park. The portfolio is valued at approximately €46 million ($51.7 million).

“We are looking to put investor equity to work immediately and so capital raising for our funds is asset specific,” said Richard Croft, CEO of London-based M7 Real Estate, in a statement.

The fund is expecting a second and final close in August and is expected to raise an additional €24 million ($27 million), making the potential gross asset value approximately €100 million ($112.4 million).