Vision Constructs Brazil Real Estate Fund

Brazil’s Vision Investments made the second and final closing on a $210m Brazil Real Estate Opportunities Fund (Breof), says shop co-founder Ken Wainer. A first close in April 2008 raised 30% of the total amount, he adds. Investors in the fund include international pension funds, insurance companies, family offices and fund of funds. Breof, for which Wainer expects a 25% rate of return in USD, is focused on Class A office developments, office retrofits, and affordable housing development. For the latter, Wainer says Vision has developed a scalable platform in Sabia Residencial, an affordable housing development firm based in Sao Paulo. Already the fund has committed approximately two-thirds of the total capital commitments to two office developments, one a retrofit, and seven affordable housing projects, all located in Greater Sao Paulo and Rio de Janeiro. Vision, which has almost $2bn in AUM, holds on to investments for 2-6 years on average, Wainer says. He also tells LatinFinance that Vision is already in talks with investors to raise another real-estate focused fund, with fundraising slated to begin in Q1 2010. The new fund aims to raise $500m, he adds.