Singapore-listed real estate asset manager CapitaLand Investment Limited (CLI) has raised more than $650 million in total equity commitments and co-investments for its lodging fund, CapitaLand Ascott Residence Asia Fund II (CLARA II).
That is above the fund’s $600-million target, and will add about $1.6 billion to CLI’s funds under management. Investors include global institutions and pension funds from Asia, Europe, and North America. CLI has committed a 20% sponsor stake in the vehicle.
CLARA II is focused on opportunities in the living and lodging sector across key cities in the Asia Pacific. The fund is about half-deployed across three assets: A serviced residence and a co-living property in Tokyo, Japan, and a co-living property in Singapore. One of the properties is Lyf Shibuya Tokyo, which was acquired in February 2024 and opened at the end of last year following a rebrand and asset enhancement programme.
Mak Hoe Kit, managing director, Lodging Private Equity Funds at CLI said in the statement of the the asset manager’s first fund: “Returns on divestment for our previous assets such as lyf Ginza Tokyo and lyf Funan Singapore were above the fund’s target, generating alpha for our capital partners.”
CLI, with S$117 billion in funds under management, is an asset management business that was spun off from Singapore real estate development group CapitaLand in 2021 after a restructuring. CLI holds stakes in eight listed real estate investment trusts and business trusts. Its diversified portfolio also includes retail, office, industrial, logistics, self-storage and data centre assets.
