M.Stanley to launch property fund, eyes China -source
SHANGHAI, Sept 3 (Reuters) - Morgan Stanley (MS.N) is raising $10 billion for a global property fund and plans to invest more than one-10th of the fund in China, despite concern over a downturn in the world's fastest growing major economy, a banking source said on Wednesday.
The fund, to be called Morgan Stanley Real Estate Fund VII Global, the latest in a series of property investment funds, is expected to be launched and begin investing worldwide before the end of this year, said the source, who had direct knowledge of the fund.
The fund plans to invest at least 10 billion yuan ($1.46 billion) in China, where the price for a luxury downtown apartment in first-tier cities such as Shanghai can exceed $20 million, said the source.
The retail portion of the fund-raising has been completed with a minimum requirement of $1 million for individual investors in Asia.
The institutional portion, which requires at least $10 million for each institutional investor, will be completed soon, the source added.
The source declined to be identified because he was not authorised to comment on the fund to the media. Morgan Stanley declined to comment. ($1=6.832 Yuan) (Reporting by George Chen; Editing by Edmund Klamann)
