Morgan Stanley Real Estate has agreed a partnership with UK investor and fund manager MSS Real Estate to spearhead a major property acquisition programme in Scandinavia.

Morgan Stanley's global MSREF VII fund, which raised $4.7 bn (EUR 3.5 bn) of equity last year, is joining forces with MSS to invest in both residential and commercial assets held by banks, property companies and high net worth individuals in the Nordics. The targeted investment amount was not revealed.

'The Scandinavian market, for the large part, offers investors the opportunity for European-type investments that are not within the eurozone. With an ongoing backlog of debt set to mature in the coming years, Scandinavia offers a large number of compelling opportunities for those investors able to source them,' said MSS CEO Mark Ellis.

MSS Real Estate is a UK-based fund manager and property investor founded in 2001 and led in the UK by Mark Ellis. It operates in both the UK and abroad in fund and fund of fund management as well private equity investment.

'We are currently exploring a number of specific opportunities and believe this is the beginning of a long-term relationship between us,' added Ellis.