Manulife Investment Management closes $1.2 Billion U.S. Real Estate Joint Venture with Harel Insurance

Manulife announced today that as part of its ongoing effort to provide specialized asset management solutions for global investors, its Private Markets group has closed a U.S. real estate joint venture with Harel Insurance Company Ltd. (Harel), a unit of Harel Insurance Investments & Financial Services Ltd., Israel’s largest insurance and financial group.

Manulife anticipates that the portfolio will acquire assets in select U.S. real estate markets composed of value-added, core plus and core investment strategies, to create a customized portfolio focused on office, industrial, and multi-family assets for a total investment of US$1.2 billion.

“The joint venture with Harel will allow us to leverage our diverse real estate acquisition capabilities across a full range of property types where we can strategically add value to the portfolio,” said Bill McPadden, Global Head of Real Estate, Manulife Investment Management.

Steve Blewitt, Global Head of Private Markets at Manulife Investment Management added, “We are pleased to announce the partnership with Harel and we are excited about the opportunities within the U.S. real estate market to provide diverse portfolios, covering multiple asset classes, to investors across the globe.”

Itzik Tawil, Global Head of Credit and Real Estate investments, Harel Insurance Company, said, “The collaboration with Manulife, one of the world’s leading financial services firms, is another move in implementing Harel’s strategy of diversifying its Real Estate portfolio, with respect to types of assets and geographies, with the purpose of creating stable returns for Harel’s members and beneficiaries in the long term, at appropriate risk levels, by investing together with accomplished partners in quality assets and key locations.”

Cardo Holdings, Manulife’s exclusive placement agent in Israel, acted as advisor to the partnership. “We were proud to advise and support Manulife and Harel executing the joint venture,” said Ron Shoham, Chief Executive Officer at Cardo Holdings.