Norges Bank Investment Management, the asset management unit of the Norwegian central bank, has signed a co-investment programme with AXA Real Estate, acting on behalf of various AXA insurance companies, targeting investments in senior secured performing commercial real estate loans in Europe.

AXA Real Estate will manage the portfolio on behalf of the parties.

The joint venture will target large size senior loan investments, of up to €600 million (around $812 million), with a primary focus on the United Kingdom, France and Germany, the firm said in a statement

NBIM said that the partners will invest mostly in primary issuances of commercial real estate loans.

The approach to the real estate programme is similar to the fund’s existing real estate investment strategy and philosophy. The joint venture will allow NBIM to achieve two main objectives: to invest in commercial real estate debt and to invest alongside an experienced team with balance sheet capacity and long term investment horizon, the firm said.