LaSalle Investment Management has reached agreement with JER Partners to assume the management of its European real estate fund operations. Under the accord, LaSalle will be responsible for advising or managing the 13 investments in JER's European portfolios.

The closing of the transaction is subject to investor approval. As part of the agreement a number of JER executives will join LaSalle.

Barden Gale, CEO of JER, said: 'We considered a number of strategic alternatives for our European platform, and after consultation with investors, we believe this is the best solution for all parties.'

JER Partners closed its first European fund in 1999, and to date, the firm has managed three European funds with EUR 1.1 bn in equity commitments and EUR 4.4 bn in gross investments in 32 investments comprising 1,300 assets.

The firm's latest fund, JER Europe Fund III, closed in March 2006. With EUR 810 mln in committed capital, the fund has undertaken 17 transactions totalling EUR 1.9 bn in gross investments (includes co-investments).

LaSalle has just under $48 bn (EUR 35 bn) of assets under management worldwide.