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Norway’s $33 Billion Man Steps Up Search in Asia Real Estate Bet

After getting the green-light in 2010 to expand into the property market, Norway’s $860 billion wealth fund has bought real estate in places such as Times Square and the Champs Elysees. It now has a strategy to focus on 10 to 15 cities globally and its efforts to enter Asia are about to intensify, Kallevig said.

To “reduce the probability of making really big mistakes,” Kallevig said the fund is looking to invest in Washington, San Francisco, New York and Boston. In Europe, it’s targeting London, Paris, Munich and Berlin, he said. The fund can also seek out unique deals, like when it bought Credit Suisse (CSGN)’s Zurich office for $1 billion in 2012 and a shopping mall in Sheffield, England.

As the fund’s push into Asia takes shape, it will narrow its focus to two cities. The entry will be based on the same criteria it has used in Europe and the U.S., tapping cities with the best growth potential and where there are supply constraints, Kallevig said. He’s staying away from restaurants and hotels, which rely on an operational component, and will stick to investing in offices and logistics properties, he said.

http://www.bloomberg.com/news/2014-05-21/norway-s-33-billion-man-steps-up-search-in-asia-real-estate-bet.html

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