H.I.G. Capital Secures $1.3 Billion for European Real Estate Investments

H.I.G. Capital, a global alternative investment firm with a 30-year track record managing over 400 companies, has successfully closed its H.I.G. Europe Realty Partners III fund. The fund raised $1.3 billion in aggregate capital commitments, surpassing its predecessor and marking a significant milestone in the current European real estate investment landscape.

The fund has already deployed capital into ten investments across Europe, maintaining H.I.G.’s focus on the middle market segment. H.I.G. targets high-growth potential companies that can benefit from both capital infusion and expert guidance. With over 500 professionals across various disciplines, including technology, recruiting, financial management, consulting, and strategic operations, H.I.G. takes a hands-on approach to drive value creation in its investments.

Notably, the fund has attracted a diverse group of investors, including public and private sector pensions, endowments, foundations, consultants, financial institutions, and family offices. While focused on European investments, the fund has garnered support from limited partners across North America, Asia, the Middle East, and Europe.

H.I.G. Capital Co-Founders Sami Mnaymneh and Tony Tamer commented on the fund’s success: “As we continue to expand our global real estate footprint, we are thrilled by the success of our European real estate platform as evidenced by the strong support from our investors. We believe the current environment, specifically in the U.K. and Germany, where market dislocations are driving meaningful repricing across asset classes, presents compelling investment opportunities for the Fund.”

The firm remains confident in its position within the European middle market real estate sector. Riccardo Dallolio, Head of Europe Real Estate, stated: “The Fund is well-positioned to capitalize on the current market opportunity set in the less efficient middle market segment across Europe. It will invest across the capital structure and asset classes with a particular focus on value-add and operational improvements to generate substantial asset appreciation.”

The H.I.G. Europe Realty Partners III fund joins the firm’s current portfolio of over 100 companies with combined sales exceeding $53 billion. With offices throughout Europe, the United States, South America, and the Middle East, H.I.G. is strategically positioned to expand its global footprint while maintaining its focus on specialized investment situations. The fund is expected to continue investing in value-added properties amenable to asset management strategies.