Press Release

12th March 2014

Growing Worldwide Investor Appetite for Asian Private Real Estate Drives Fundraising Success In the last six months appetite for Asian private real estate investments has grown among investors based in North America, Europe and Asia New research from Preqin demonstrates that despite an uncertain outlook for many Asian economies, appetite for Asian private real estate has grown among investors based in North America and Europe, as well as Asia. North America- and Asia-based real estate investors have shown the most significant increase in appetite for Asian investments, with 17% of investors based in North America focusing on Asian investments in February 2014, compared to only 9% in July 2013; similarly 71% of Asia-based investors are targeting the region in the year ahead as of February 2014, compared to 57% in July 2013. This appetite has driven growth in fundraising for private real estate funds targeting Asia, with the total capital raised by these vehicles increasing from $5.4bn raised by funds closed in 2011, to $7.9bn by funds closed in 2012 and $10.5bn by funds closed in 2013. Other Key Facts:  Europe-based investor appetite for Asian private real estate investments has more than doubled over the last year, from 18% of European investors targeting these investments in February 2013 to 41% in February 2014.  22% of Asia-focused private real estate funds closed in 2012 or 2013 raised 125% or more of their target size, and no funds closed in 2010 to 2011 achieved this.  51 Asia-focused private real estate funds are currently seeking capital commitments from investors, targeting a total of $20.5bn.  Several large global private real estate firms launched Asia-focused funds in 2013, including Blackstone Real Estate Partners Asia, managed by Blackstone Group, which is targeting $4bn in investor commitments and is the largest Asia-focused private real estate fund currently in market.  Following Blackstone Real Estate Partners Asia, Aetos Capital Asia V, managed by Aetos Capital Real Estate and targeting $1bn, Invesco Real Estate’s Invesco Asia Real Estate Fund III, targeting $800mn, and Red Fort Capital’s Red Fort India Real Estate Fund III, targeting $800mn, are the next largest Asiafocused private real estate funds in market.  The vast majority of the 51 Asia-focused private real estate funds in market are focusing on opportunistic or value added opportunities – there are 31 opportunistic funds targeting $15.6bn and 10 value added funds targeting $3.2bn.  Opportunistic funds are the most sought after fund type by investors targeting Asian private real estate investments, with 66% of investors targeting this strategy.  58% of investors surveyed by Preqin stated that geographic diversification was the main reason they invest in Asia-focused real estate firms; 42% named the returns potential of these vehicles. For more information and analysis, please see the full report: https://www.preqin.com/docs/reports/Preqin_Special_Report_Asian_Real_Estate_Mar_14.pdf Comment: “Renewed appetite for Asian real estate exposure from institutional investors across the world has driven the growth in fundraising seen in the region in the past year. Some of the biggest players in private equity real estate are marketing funds targeting the region, including Blackstone Group, Invesco Real Estate and Carlyle Group, reflecting the attractive opportunities these firms believe there are in Asia and the growing investor appetite for the region. Preqin’s conversations with investors across the globe show that the potential for portfolio diversification and strong returns make Asian real estate attractive to many institutional investors, and their appetite is clearly on the rise. This is likely to lead to further fundraising growth in 2014, as managers look to take advantage of the opportunities and investor interest in Asia.” Andrew Moylan, Head of Real Assets Products New York: One Grand Central Place, 60 E 42nd Street, Suite 630, New York NY 10165 Tel: +1 212 350 0100 London: Equitable House, 47 King William Street, London EC4R 9AF Tel: +44 (0)20 7645 8888 Singapore: One Finlayson Green, #11-02, Singapore 049246 Tel: +65 6305 2200 San Francisco: 580 California Street, Suite 1638, San Francisco, CA 94104 Tel: +1 415 635 3580 Web: www.preqin.com / [email protected]

____________________________________________________________________________________________ Note to Editors: 

Preqin is spelled without the letter ‘U’ after the ‘Q’, the company name being an amalgamation of the former name, Private Equity Intelligence.

About Preqin: Preqin is the leading source of information for the alternative assets industry, providing data and analysis via online databases, publications and bespoke data requests.

  Preqin has built a reputation in the alternative assets industry for providing the most comprehensive and extensive information possible. Leading alternative assets professionals from around the world rely on Preqin’s services daily, and its data and statistics are regularly quoted by the financial press. For more information, please visit: www.preqin.com For more information, please contact: Andrew Moylan +44 (0)20 7397 9430 or [email protected] For more information, please contact: Nicholas Jelfs +44 (0)20 7645 8882 or [email protected]

New York: One Grand Central Place, 60 E 42nd Street, Suite 630, New York NY 10165 Tel: +1 212 350 0100 London: Equitable House, 47 King William Street, London EC4R 9AF Tel: +44 (0)20 7645 8888 Singapore: One Finlayson Green, #11-02, Singapore 049246 Tel: +65 6305 2200 San Francisco: 580 California Street, Suite 1638, San Francisco, CA 94104 Tel: +1 415 635 3580 Web: www.preqin.com / [email protected]