Preqin Research Report Fig.

3:
Funds on the Road over Time:
Q1 2010 Private Equity Real Estate Q1 2007 - Q2 2010
Fundraising Update 450 390 383
381 378 363 376
400
350
300 273
228 227
250 199
Fig. 1: Top Five Largest Real Estate Funds to Close in Q1 2010 200
178 173
147
127
150
76
100 33
Amount Manager
Fund Firm Type Fund Focus 50
Closed (Mn) Country 0
Morgan Stanley Debt, Q1 Q1 Q1 Q2 Q3 Q4 Q1 Q2
Morgan Stanley
Real Estate Fund Distressed & 5,200 USD US Global 2007 2008 2009 2009 2009 2009 2010 2010
Real Estate
VII Global Opportunistic No. of Funds Aggregate Target ($bn)
Beacon Capital Beacon Capital US, West
Value Added 2,500 USD US
Strategic Partners VI Partners Europe
Washington
JBG Fund VII JBG Companies Opportunistic 577 USD US
DC Fig. 4:
Garrison
Garrison
Investment
Debt &
500 USD US US
Fundraising by Fund Primary Geographic
Opportunity Fund Distressed
Group Focus: Q1 2010
Denmark,
Nordic Real Finland, 6 5.5
NREP Logistics Value Added 1,600 SEK Denmark 5
Estate Partners Norway, 5
Sweden 4
4 3.6
3
3
2
1 0.6
Fig. 2: Quarterly Global PERE Fundraising: Q1 2003 - Q1 2010 0
North America Europe Asia and Rest of
45 World
41 41 No. of Funds Aggregate Capital Raised ($bn)
40 37
Aggregate Capital Raised ($bn)

34
35 33
31 Fig. 5:
30
27
25
27 Average Time Taken for Funds to Achieve a
25 24 23 23 Final Close by Year Fund Closed
20
20 20 18.8
Average Time Spent in Market

17 18.2
16 16
18
15 13 14
16
10 11 11 10 14 12.6
10 9 9
(Months)

12 9.8 10.0
5 6
10
5 3
2 3 8
6
0
4
Q1 2003
Q2 2003
Q3 2003
Q4 2003
Q1 2004
Q2 2004
Q3 2004
Q4 2004
Q1 2005
Q2 2005
Q3 2005
Q4 2005
Q1 2006
Q2 2006
Q3 2006
Q4 2006
Q1 2007
Q2 2007
Q3 2007
Q4 2007
Q1 2008
Q2 2008
Q3 2008
Q4 2008
Q1 2009
Q2 2009
Q3 2009
Q4 2009
Q1 2010

2
0
2006 2007 2008 2009 2010
Fund Close Year

Global private equity real estate Around half of its investments will be
fundraising increased slightly for made outside of Europe and North
funds closed in Q1 2010 compared America.
to funds closed in Q4 2009, with
nearly $10 billion in aggregate The aggregate fundraising target
commitments raised by funds closing of private equity real estate funds
in the period. However, quarterly currently seeking capital from Preqin provides information, products and
fundraising remains at a much lower investors continued to fall over the services to real estate firms, fund of funds,
level than prior to the economic course of Q1 2010. The aggregate investors, placement agents, law firms, advisors
downturn; in excess of $40 billion target fell from $173 billion to $147 and other professionals across six main areas:
was raised by private equity real billion, as some funds lowered their
estate funds closing in each of the targets in light of the difficulties > Fund Performance
second and third quarters of 2008, encountered in attempting to garner > Fundraising
before the crisis began to have an commitments from investors that
effect on fundraising in Q4 2008. remain cautious. Investor caution > Fund Manager Profiles
is also highlighted by the increase > Investor Profiles
The largest fund to close in Q1 in the length of time it is taking > Fund Terms
2010 was Morgan Stanley Real private equity real estate funds to > Compensation and Employment
Estate Fund VII Global. The vehicle, reach a final close, which is now up
which attracted total commitments to 18.8 months for funds closed so Available as:
of $5.2 billion from investors, will far in 2010, having increased more > Hard Copy Publications
make opportunistic, distressed asset than 40%, to 18.2 months, in 2009 > Online Database Services
and distressed debt investments. compared to the previous year.
> Consultancy and Research Support
> Tailored Data Downloads

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