ARA Asset Management will establish a joint venture (JV) with Venn Partners to create and manage real estate debt funds and other ownership vehicles in Europe. This will be done through its subsidiary ARA UK Asset Management.

The deal for the proposed JV, ARA Venn, is expected to be completed by the first quarter of next year, subject to regulatory approvals, ARA said in a bourse filing yesterday.

ARA directly manages Singapore-listed Suntec Reit, Cache Logistics Trust and ARA US Hospitality Trust, and also has a stake in Cromwell Property Group, the sponsor of Cromwell European Reit.

It also indirectly manages real estate investment trusts (Reits) in Singapore, Japan, Australia and Malaysia through its associate companies.

Venn Partners is an investment manager in European real estate private debt.

Earlier this month, ARA entered into a strategic transaction with Logos Group to establish a logistics real estate platform in the Asia-Pacific region.

As part of the deal, ARA Asset Management will transfer its entire holdings in both Cache Logistics Trust and ARA Trust Management (Cache) to Logos. The deal is expected to be completed by the first quarter of next year.

As a globally integrated real assets fund manager, the ARA group and its associates manage over $83 billion in gross assets, as of June 30.

THE BUSINESS TIMES