Prupim and LaSalle Investment Management have teamed up to launch a new multi-billion pound Asia Pacific property fund.

The open-ended fund has been seeded with five properties from Prupim’s existing Asia Pacific portfolio, with value of more than $600m (£298m), located in Australia, Singapore, Hong Kong and South Korea.

Additional equity will be provided by Prudential’s Asian life funds and LaSalle, which, along with gearing of around 18%, will see the fund grow to more than $1bn (£496m) by the end of the year.

Jonathan Allen, chief executive of Prupim Singapore, a joint venture between Prudential UK and Prudential Corporation Asia that will manage the fund with LaSalle as investment manager, said the fund will target institutional investors and pension schemes, and will grow to around $4bn (£2bn) in the next few years.

‘We are looking to invest in the transparent real estate markets of the region, such as Australia, Singapore, Hong Kong, Japan and Korea,’ Allen said. ‘We will also be looking at China on a deal by deal basis.

‘We see the Asia Pacific region as playing an increasing important role in the real estate universe, as it offers investors the chance to both diversify their portfolio, as well as take advantage of the strong economic drivers that will create more stock and higher prices in the region.’