Hongkong Land Holdings said on Tuesday it had launched ‍its first ‍private real estate fund, seeded with S$8.2 billion ($6.4 billion) of Singapore ​commercial property assets.

The launch represents a milestone in its strategy announced in October ⁠2024, Hongkong Land said, adding that the fund recycles capital from its ⁠prime assets ‌and will help it form a third party investment platform as it targets $100 billion of assets under management by 2035.

Hongkong ⁠Land said it will be the fund's general partner and manager and will hold a majority stake at inception, alongside founding investors Qatar Investment Authority and APG Asset Management as well as ⁠a Southeast Asia sovereign wealth ​fund.

It did not disclose ownership percentages and the identity of the Southeast Asian sovereign fund.

The ‍Singapore Central Private Real Estate Fund is a perpetual open-end vehicle and holds ​interests in office-led assets including Asia Square Tower 1 and One Raffles Link and stakes in Marina Bay Financial Centre Towers 1 and 2 and Marina Bay Link Mall, and One Raffles Quay.

Hongkong Land said in a statement that the fund had committed equity of S$4.1 billion ($3.2 billion), including more than S$1.8 billion of third-party capital. It said it was in discussions to bring in additional institutional investors.

The fund is targeting ⁠at least S$15 billion of gross asset value ‌through selective acquisitions and a pipeline of future Singapore commercial assets that Hongkong Land may develop.

It did not give a timeline ‌for reaching ⁠that target. ($1 = 1.2685 Singapore dollars)

(Reporting by Yantoultra Ngui in Singapore and the ⁠Bengaluru team; Editing by Christian Schmollinger and Alexander Smith)