Global real asset manager CapitaLand Investment Limited (CLI) announced raising $320 million in the final close of its second Asia-Pacific real estate credit fund.
The CapitaLand Asia Pacific Credit Program II (ACP II), CLI’s second regional fund within its flagship real estate credit series, attracted a diverse pool of investors, primarily from Asia, including insurers, financial institutions, and family offices.
CLI holds a 20% sponsor commitment in ACP II, which has already been allocated to five first mortgage loans for logistics, office, and living assets located in Sydney, Australia, and in the Seoul Metropolitan Area in South Korea, according to the announcement.
The closing comes amid a structural shift in regional credit markets, where real estate-backed lending remains underpenetrated.
Such loans, CLI said, account for roughly 6% of total financing in Asia Pacific, compared with 21% in Europe and 41% in the US, suggesting room for growth.
CLI’s strategy is built around senior secured, asset-backed real estate lending, which it sees as distinct from broader private corporate credit, said Kishore Moorjani, chief executive officer for alternatives, private funds, at CLI.
“The successful close of ACP II is a testament to CLI’s position as a partner of choice in APAC. CLI stands out with our deep asset-level expertise and strong operating capabilities,” Moorjani said.
CLI has been expanding its credit platform alongside its broader push into asset-light fund management. Together with Wingate, the firm has deployed more than S$10 billion in credit investments across the region to date, including deals in Australia and South Korea.
The latest fund follows the full deployment and exit of its predecessor, the S$240 million ACP I, which financed mixed-use developments in Melbourne and Adelaide, underscoring CLI’s efforts to scale its private credit franchise in Asia Pacific.
In December last year, CLI announced the final close of its second onshore sub-fund under its renminbi-denominated master fund in China at 1 billion yuan (about $142 million).
The fund, China Retail RMB Fund I (CRF I) secured equity commitment from the master fund, CLI RMB Master Fund, and several onshore institutional investors, CLI said.
When fully deployed, CRF I is expected to add 1.48 billion yuan to CLI’s funds under management, it added. CLI closed the first sub-fund under the platform, China Business Park RMB Fund IV, in September with a total equity commitment of 1.74 billion yuan.
