A disciplined, research-driven approach to value- add and opportunistic investing that leverages global resources and a local footprint to seek to provide strong risk-adjusted returns across product types.
Hines U.S. Property Recovery Fund1 (“HUSPRF” or “Fund I”) is a diversified, closed-end real estate investment fund actively investing in opportunities arising from dislocation in U.S. real estate.
Fund I aims to combine Hines' asset-level value creation capabilities with advantageous pricing. Since the inception of Fund I, we have productively leveraged our hyper-local presence and national relationships to source and execute on a range of opportunities in high-quality locations. The broad Hines platform is squarely focused on creating value across the current portfolio of seven deals, all in high-barrier locations. We continue to see compelling opportunities this cycle due to heightened distress and the acceleration of obsolescence in existing product.
1HUSPRF (or Fund I) is closed to new investors.
A closed-end, opportunistic fund, the Hines U.S. Property Recovery Fund invests to create a diversified portfolio of high-quality assets across living, industrial, office, mixed-use, and niche sectors.
Target Sectors as of Q1 2023
2Target allocations are estimates based only on Hines' intent as of the date hereof and the subject to change due to market conditions and other factors. There can be no assurance that target allocations will be met with respect to Fund I. Actual allocations may vary significantly from targeted allocations.
Three Key Reasons to Invest in Hines U.S. Property Recovery Fund
Increased Distressed Sales
Economic conditions are creating difficulties for owners and developers who acquired projects at peak pricing and with pro forma assumptions that have not held up. With ready-to-strike capital, HUSPRF can move quickly to acquire well-positioned projects at an early-cycle basis that positions the assets for strong value growth into the next cycle.
Hyper-Local Sourcing Network
Many of today’s distressed situations will be resolved discreetly, without broad marketing processes as troubled owners seek quick and reliable exits or recapitalizations. Hines’ on-the-ground teams in 92 U.S. markets have the reputation and depth of relationships to see deals that others might not see and act on those opportunities primed to outperform in a changing environment.
Decades of Value Creation
With 65+ years of industry experience across all sectors and market cycles, we seek to leverage our time-tested best practices in acquisition, repositioning, development, and management by identifying high potential opportunities and executing transformative business plans to create assets tailored for new ways of living and working.
Drawing on Hines' team of approximately 3,000 professionals3 in 94 U.S. cities, HUSPRF currently owns and manages living, industrial, and office projects in various submarkets identified using Hines Research's proprietary methodology. Our strategies allow us to concentrate on nodes that are likely to see durable rent growth and benefit from supportive demographic trends.
Fund I officially ended its capital raise on November 30, 2022, garnering total capital commitments of $644M in equity.
3As of June 30, 2023.
Meet Your Investment Team
As a privately held, family-led firm, Hines takes a long-term view—thinking generationally—enabling us to create assets built for the future and partnerships geared for the long-term. The Fund management team possesses depth of experience in U.S. real estate and is supported by a robust set of in-house teams, including local acquisitions and dispositions, accounting and portfolio/asset management, research, financing, ESG, and conceptual construction. We believe that the expertise of these local, dedicated professionals is a key differentiator between Hines and other real estate investment managers.
Meet Your Investment Team
Anyone can claim to be innovative, forward-looking, creatively disciplined, and committed to worthy causes. HUSPRF takes the next step to provide proof through our case studies. Every day, we seek to reimagine real estate design, finance, and our footprint, and we’re just getting started.
The Hines ESG Commitment
HUSPRF believes there is real value-add in investing responsibly as the broader investment community recognizes the impacts real estate assets can have on the environment and the communities surrounding them. By reducing negative environmental impacts and endeavoring to promote the health and well-being of our stakeholders, we believe we can enhance the value of our assets for our clients, communities, and partners.
Fund I is committed to investing in a responsible and transparent manner and has acted during its first year to launch its ESG program - including establishing its ESG Policy. Fund I is also committed to ESG governance frameworks and benchmarks to hold ourselves accountable, disclose our objectives, report our progress, and evaluate opportunities for continual improvement.
For more information on our ESG priorities and governance, please check out the Fund's 2022 ESG Report.