Munich-based fund manager Real I.S. has announced that it is launching its fifth fund for institutional investors, which is expected to have a spending power of up to EUR 600 mln.

The BGV V special fund, the second by Real I.S. in less than a year, will target acquisitions of core and core plus assets within the Eurozone and in Europe's major metropolises and metropolitan regions.

'The focus will be both on office and retail real estate and will be complemented by logistics real estate,' said Jochen Schenk, CEO of Real I.S.

The fund will seek to raise equity of EUR 300 mln, and will have an investment horizon of 10 to 12 years. During its entire lifetime, the fund will aim for an annual distribution of between 5-5.5% after taxes. 'The widely diversified investment strategy with focus on Germany, France and the Benelux countries is particularly well suited for setting up real estate portfolios or to expand existing portfolios,' Schenk added.

Real I.S., which is owned by the German Savings Banks Finance Group, acts as asset manager for the commercial real estate belonging to the BayernLB state bank.