The Australian – Lowy-backed fund rising capital

Source: The Australian

Ben Wilmot

The Lowy Family Group-backed Assembly Funds Management has closed the second round of equity funding for Australian Diversified Property Fund 1, raising a further $53m to bring the vehicle’s equity to $207m.

Assembly was set up in mid-2019 by Michael Gutman, the former global chief operating officer, president and director of Westfield prior to the takeover by Unibail Rodamco mid-2018.

AFM is a Sydney-based partnership between Michael Gutman, Lowy Family Group and Alceon Group, and has a broad real estate mandate across a variety of asset classes in Australia and New Zealand.

But it has steered clear of offices and the traditional mainstay of the Lowy family, shopping centres, despite patriarch Frank Lowy co-founding the Westfield empire before the family exited last year. The fund has instead focused on residential, large format retail and alternative asset classes.

The fund initially raised $154m in equity from wealthy investors in September last year and has now won more backers hoping to find commercial property bargains.