Multiple commercial real estate funds have poured more than $2.5 billion into the U.S. real estate market in recent weeks, Bisnow reports. These CRE funds have put money behind apartment, industrial properties and other industry sectors.
For example, Kayne Anderson Real Estate closed Kayne Anderson Real Estate Debt IV at approximately $1.875 billion in capital commitments through its debt platform KA Real Estate Debt. The fund will focus on Freddie Mac-structured products such as loan originations and multi-family, student housing, medial office, senior housing and self-storage acquisitions.
Crow Holdings has established a presence in the multi-family sector. It recently closed on the third pool of its Multi-Family Build-to-Hold Fund for $332 million in equity commitments. The fund, managed by Crow Holdings Capital, currently has $680 million in aggregate equity commitments, according to Bisnow.
“(Trammel Crow Residential) has been developing luxury apartments for decades, and today’s market is unlike anything I’ve seen in my time in the industry,” Ken Valach, CEO of TCR and recently appointed president of the National Multifamily Housing Council said in a statement. “Supply is still well short of demand, leading to increased absorption and rent growth particularly in the markets with diversified economies and job and population growth. I’m proud of our teams’ ability to develop these high-quality communities.”
Meanwhile, real estate private-equity firm Excelsa raised $153 million for its second multi-family fund. The company focused on family offices and high net investors. Developer and private-equity real estate firm Titan Development also joined the industry investment fray, as it closed the Titan Development Real Estate Fund III at $122 million. Fund investors comprised family offices and high net worth individuals. The fund’s primary objective is building multi-family and industrial projects in growing secondary and tertiary markets that have grown in recent years, per a company release.
“We are delighted that Fund III has won the support of investors who share our vision of developing and delivering high-quality solutions for businesses and renters,” said Ben Spencer, Fund Manager and Partner at Titan Development. “It’s a great show of confidence that we closed Fund III in about three months of fundraising. As interest in the Southwest region continues to grow, we look forward to deploying those investments to build projects that will deliver value for our investors and meet the needs of the communities we serve.”
Finally, Elevation Capital Group recently announced its eighth real estate investment fund, Elevation Fund 8, LLC received more than $60 million in commitments. The fund is looking to build a portfolio of mobile-home community and self-storage properties.
“We are encouraged by the progress that Fund 8 is making and we are grateful for the continued trust of our growing investor community,” Ryan Smith, Principal, Elevation Capital Group said in a statement. “We continue to believe that our model coupled with an experienced team will benefit our investors in the years to come.”