Aravest Private Funds, as well as Sumitomo Mitsui DS Asset Management, have plus or minus $165M secured for their APAC Real Estate Credit strategy.
The joint strategy was launched in late 2025 with $120M commitments from investors.
SMBC Group sponsors the fund with combined investment management expertise from Aravest and SMDAMSG in order to provide robust institutional quality origination, investment, credit and operations for pan-Asian real estate credit transactions.
The APAC Real Estate Credit Strategy will primarily comprise major real estate assets, such as office buildings and hotels, within Asia. The fund will focus primarily on credit transactions that are collateralized by high-quality real estate with a variety of debt structures to support the lifecycle needs of the various real estates in the portfolio.
In December of 2025, SMBC Group launched the SMBC Private Asset Management platform with Sumitomo Mitsui DS Asset Management as the lead asset manager for the platform.
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The partnership between Aravest and SMBC private asset manager has now added Asia to the SMBC Private Markets platform, after successful recent partnerships with Bain Capital and Muzinich for their respective European Platforms.
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Additionally, this initiative supports Japan's efforts to become a worldwide hub for asset management. The cross-asset management capabilities of SMBC Private Markets will contribute to an overall value of around ¥15 trillion (approximately US$94 billion) by 2031.
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Sumitomo Mitsui DS Asset Management has four times as much under management; with approximately $170 billion in managed assets versus $9.9 billion for all Aravest's real asset portfolios across the Asia Pacific region, which include established primary markets such as offices, hotels/lodging, retail space and logistics as well as emerging markets such as sustainable infrastructures.