Brookfield, Lunate Earmark $1 Billion for Mideast Real Estate

Brookfield Asset Management is partnering with the Abu Dhabi-based asset manager Lunate on a $1 billion joint venture to invest in residential real estate in the Middle East, which is home to some of the world’s hottest property markets.

The new venture will focus on investing in Dubai and Abu Dhabi, the United Arab Emirates’ finance hubs where property values have surged in recent years. Lunate will commit a significant cornerstone investment, according to a statement on Tuesday.

The deal is the latest example of the allure of markets like Dubai, where property prices have surged 70% in the last ...