CapitaLand Investment Limited (CLI) has successfully closed its CapitaLand Ascott Residence Asia Fund II (CLARA II), raising over US$650m in equity commitments, surpassing its initial target of US$600m. This achievement highlights strong investor confidence in the living and lodging sector, particularly in Asia Pacific, and CLI’s expertise in this field.
CLARA II will contribute approximately US$1.6 billion to CLI’s total funds under management. The fund has attracted a diverse range of global investors, including institutional investors, pension funds, and financial institutions from Asia, Europe, and North America. CLI has committed a 20% sponsor stake to ensure alignment with its investors.
The fund focuses on transforming underutilised assets into high-performing properties in gateway cities across Asia Pacific. It has already deployed around half of its committed equity into three assets, including properties in Japan and Singapore. Andrew Lim, Group Chief Operating Officer for CLI, noted the growing investor interest in the sector, driven by trends such as increased mobility and demand for flexible living arrangements.
Mak Hoe Kit, Managing Director of Lodging Private Equity Funds at CLI, emphasised the trust investors place in CLI’s capabilities and strategy. He highlighted the company’s track record of successful value-add and exits, which has generated significant returns for capital partners.
As CLI continues to leverage its investment and asset management expertise, it aims to identify and execute opportunities that deliver long-term returns for stakeholders.
