Several commercial real estate funds have poured more than $2.5 billion into the US housing market in recent weeks, bisnow reports. These CRE funds invested in apartments, industrial properties and other industrial sectors.
For example, Kayne Anderson Real Estate closed Kayne Anderson Real Estate Debt IV at approximately $1.875 billion in capital commitments through its KA Real Estate Debt platform. The fund will focus on Freddie Mac’s structured products such as loan originations and acquisitions of multi-family housing, student housing, medical practices, senior housing and self-storage.
Crow Holdings has established a presence in the multifamily sector. He recently closed the third pool of his Multi-Family Build-to-Hold fund for $332 million in equity commitments. The fund, managed by Crow Holdings Capital, currently has $680 million in total 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,” said Ken Valach, CEO of TCR and recently appointed President of the National Multifamily Housing Council. A declaration. “Supply is still well below demand, leading to increased absorption and rental growth, especially in markets with diversified economies and growing employment and population. I am proud of the ability of our teams to develop these quality communities.
Meanwhile, real estate private equity firm Excelsa has raised $153 million for its second multifamily 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, closing the Titan Development Real Estate Fund III at $122 million. Investors in the fund included family offices and high net worth individuals. The main objective of the fund is to build multi-family and industrial projects in growing secondary and tertiary markets that have developed in recent years, according to a statement from the company.
“We are delighted that Fund III has secured the support of investors who share our vision of developing and delivering high quality solutions to businesses and tenants,” said Ben Spencer, fund manager and partner at Titan Development. “It is a great show of confidence that we have closed Fund III in about three months of fundraising. As interest in the South West region continues to grow, we look forward to deploying these investments to build projects that will bring value to our investors and meet the needs of the communities we serve.
Finally, Elevation Capital Group recently announced that its eighth real estate investment fund, Elevation Fund 8, LLC, has received over $60 million in commitments. The fund seeks to build a portfolio of mobile homes and self-storage properties.
“We are encouraged by the progress Fund 8 has made and are grateful for the continued confidence of our growing community of investors,” said Ryan Smith, director of Elevation Capital Group in a statement. “We continue to believe that our model coupled with an experienced team will benefit our investors for years to come.”