ElmTree Funds has partnered with China Life Insurance Group in a $950 million recapitalization of a net lease portfolio, enhancing market presence and income potential for both entities.

Information on the Target

ElmTree Funds is a notable entity in the commercial real estate sector, focusing on net lease investments. The firm recently engaged in a significant recapitalization of a portfolio valued at $950 million, primarily consisting of build-to-suit properties leased to investment-grade tenants. This portfolio is predominantly owned by ElmTree Net Lease Fund II, with the aim of acquiring a total of up to 50 assets.

In this strategic partnership, ElmTree will continue its role as the asset manager of the portfolio, employing a core/core-plus investment strategy that emphasizes stable income and value appreciation over time.

Industry Overview in the Target’s Specific Country

The commercial real estate industry in the United States, particularly in the net lease sector, has seen robust growth in recent years. With increasing demand for predictable and stable investment returns,