3 years after selling down its $US1.16 billion US real estate investment trust, Houston-based Hines Interests LP announced a structure yesterday that will see it put more focus on global activity.
In 2016, Hines sold 9 US office buildings and closed its US reit. However, the group has a global reit and remains a huge investment & funds manager both in the US & internationally.
It has $US124 billion of assets under management in partnership with institutional & retail investors, making it the second largest investment manager in North America & fourth globally.
Hines’ global chief investment officer, David Steinbach, & capital markets chief executive Chris Hughes will head the new investment management platform aimed at encouraging big investors to work directly with it.
President & global chief executive Jeff Hines said yesterday the group had appointed 3 geographic chief investment officers – Alfonso Munk for the Americas, Alex Knapp for Europe & Lee Timmins for Asia, from a new office in Hong Kong. The Asian territory stretches down to Australia.
Hines has also expanded its global investment committee and will shape investment strategy with the support of its proprietary research group.
Mr Steinbach said of the strategic shift: “We see a market opportunity to create something new in the real estate space, connecting the dots of product innovation, future-proofing, on-the-ground market knowledge & global scale to be a disruptive force of change in the industry.
“Our expanded platform allows us to satisfy the needs of our investors who want to ‘go direct’ with larger, more strategic relationships, led by real estate experts who are thinking well into the future and looking above the tree line. We believe our new platform positions Hines to be in the highest tier of investment managers.”
Mr Hughes chimed in: “We are responding to market demands in a way no other real estate investor can. Investors are taking note of the fundamental shifts in real estate at the product level and they value a partnership-driven firm with our track record, entrepreneurial approach & understanding of changing demand drivers, tenant requirements & the competition for talent. We are imbedded with global occupiers, and it is our goal to not just respond to their needs, but to anticipate them.”
Hines, privately owned, has a presence in 23 countries, has 148 developments underway and currently manages 20 million m² in 514 properties.