Oaktree Real Estate Opportunities Fund VII, L.P.
Purchases
OAKTREE REAL ESTATE OPPORTUNITIES FUND VII, L.P.
Appendix II: Evolution of Six Areas of Focus (Non-U.S.)
Liquidations and
Refinancings
$1,000
($ in millions)
800
600
400
200
0
(200)
(400)
HYPER-
LIQUIDITY
(600)
2006
2007
GLOBAL FINANCIAL
CRISIS
2008 2009 2010
+
Japan
2011
H
2012
RECOVERY
2013
2014
+
Korea
United Kingdom
2015
IL
3
SAMPLE DEAL: ANGLESEA PLATFORM
Investment date: April 29, 2014
ROF VI investment: $143 million
●
INVESTMENT PROFILE
Programmatic joint venture with Anglesea Capital to acquire larger
industrial assets across the United Kingdom
●
●
●
INVESTMENT THESIS
Due to an extended exclusivity period, Cowley's purchase price reflects
pricing from six months prior to closing in April 2014, and there has been
material yield compression in the UK logistics market over the same period
●
Confidential
Through June 2014, the platform has made two purchases, acquiring a total
of 2.1 million square feet of properties comprised of a logistics warehouse
and an office building in Cowley, an industrial suburb of Oxford, and four
warehouse buildings in Branston, 25 miles northeast of Birmingham
In July the platform completed a $357¹ million follow-on investment
consisting of 14 industrial warehouses, comprising 3.7 million square feet,
and a 112,000 square foot office building located in key logistics markets
Cowley and Branston have strong going-in cash-on-cash returns of 26% and
27%, respectively
The UK large-scale logistics market is currently benefiting from very strong
supply-demand fundamentals; of the 16 logistics assets in the UK that have
over 750,000 square feet, none were vacant at the time of our purchase
(800)
As of June 30, 2015
Note: Reflects purchase and liquidation/refinancing activity for vehicles in the Real Estate Opportunities, Real Estate Debt and Distressed Debt strategies, as well as other certain Oaktree-managed funds and
accounts. Capital deployed includes $2.1 billion of equity for investments in Real Estate team-led transactions across all Oaktree-managed funds. Realizations include $1.7 billion of liquidations and an
additional $386 million of refinancing proceeds.
This investment highlight represents the largest investment within the Non-U.S. area of expertise within the Oaktree Real Estate Opportunities Fund VI, L.P. See “Legal Information and Marketing
Disclosures" section of the Appendix for important information regarding case studies.
1 Represents the Fund's gross purchase price prior to financing.
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