Manulife's private asset management arm is to co-invest up to $1bn in US real estate alongside Allianz.
As part of the deal, John Hancock Real Estate - the US real estate unit of Manulife Asset Management Private Markets - has sold majority stakes in two offices to Allianz, for an undisclosed sum. Manulife will continue to manage both of the offices, located at 1000 New York Avenue in Washington, DC and 191 North Wacker Drive in Chicago, IL.
"Manulife is pleased to be partnering with Allianz—a highly-regarded and established institutional investor that is very much aligned to our long-term investment philosophy," said Kevin Adolphe, president and CEO of Manulife Asset Management Private Markets. The Canadian insurer recently opened up its asset management business to external investors.
John Hancock Real Estate has a portfolio worth $10.4bn while Allianz Real Estate has $33bn under management, as of September 2014.
Allianz is intending to increase its real estate debt and equity investments to around $50bn over the next few years. "We are excited to start our partnership with Manulife, a like-minded, best-in-class real estate investor," said Christoph Donner, CEO of Allianz Real Estate of America. "Allianz has ambitious goals to continue to expand its real estate presence in the US."
The parties will seek to invest in high-quality office properties in US gateway cities.
Channels:SAA/ALM