Abu Dhabi’s sovereign wealth fund has increased its funding commitment to Cheyne Capital’s real estate private credit strategy in Europe.

The Abu Dhabi Investment Authority (ADIA) committed an undisclosed amount to Cheyne’s programme, dubbed as the capital solutions strategy, bringing the total commitment to £650 million ($836 million), European media reported on Tuesday.

The programme targets senior lending against real estate in Europe.

“The capital solutions strategy aims to meet the increasing demand for various forms of real estate credit by drawing on Cheyne’s expertise in the European real estate lending market,” a statement quoted Mohammed Al Qubaisi, Executive Director of ADIA’s real estate department.

“We see this as a compelling investment proposition in a market that is looking to private credit lenders for capital.”

ADIA has assets worth around $933 billion, according to the Sovereign Wealth Fund Institute (SWFI).

Cheyne Capital is a London-based alternative investment fund manager that invests in senior debt, equity of corporates and real estate.

(Writing by Cleofe Maceda; editing by Seban Scaria) Seban.scaria@lseg.com