Mon, Apr 21, 2014
A A A
Welcome Guest
Free Trial RSS
Get FREE trial access to our award winning publications
Alternative Market Briefing

Equity real estate fundraising declines in Q1

Wednesday, April 04, 2012

Bailey McCann, Opalesque New York: Twenty-six closed-end private real estate funds reached their final close in the first quarter of this year raising an aggregate of $9.5bn, a significant decline compared to the $15.8bn raised by 39 funds in the fourth quarter of last year according to new research by global data firm, Preqin.

The firm notes that final data may show a slight uptick in the number for Q1, but will still represent a decline overall. North American funds raised the most capital with aggregate commitments reaching $6.3bn.

Notable funds closing in this round included Angelo, Gordon & Co which raised $1.27bn for its AG Realty Fund VIII and $1.01bn for its AG Core Plus Realty Fund III. Related Companies raised $850m for its Related Real Estate Recovery Fund. GTIS Partners raised $810m for its GTIS Brazil Real Estate Fund II.

Funds are also taking more time to close the average for this quarter was 18.1 months, up from 17.3 months in 2011. The double digit timeline is a significant increase from 2007 when funds averaged 8.7 months before closing.

Currently, private equity real estate markets have 449 funds with aggregate commitments of approximately $166bn. "The fundraising market remains extremely competitive," says Andrew Moylan, manager, Preqin real estate data. "While there have been firms achieving considerable fundraising success, there have been many others which hav......................

To view our full article Click here

Banner
Today's Exclusives Today's Other Voices More Exclusives
Previous Opalesque Exclusives                                  
More Other Voices
Previous Other Voices                                               
Access Alternative Market Briefing
  • Top Forwarded
  • Top Tracked
  • Top Searched
  1. Opalesque Exclusive: Classic Auto Funds Limited (CAF) launches several car investing funds[more]

    Bailey McCann, Opalesque New York: A new trend in alternative alternatives is emerging - car appreciation funds. Classic Auto Funds Limited (CAF) is the first to market with several funds that make super elite luxury cars into real asset investments. As a result of growing overseas demand couple

  2. Investing – Big hedge funds bought Puerto Rico's junk bonds, Fidelity explores new trading venue amid flash trade concerns, Crisis-era Greek bonds reward early buyers with big effective returns, Cargill unit discloses stake in Freddie preferred[more]

    Big hedge funds bought Puerto Rico's junk bonds From Reuters.com: Several large hedge funds doubled down on Puerto Rico in last month's giant bond sale despite the U.S. territory's financial struggles, the Wall Street Journal reported, citing confidential documents reviewed by the newspa

  3. Opalesque Exclusive: Hedge fund replicators evolve[more]

    Bailey McCann, Opalesque New York: Hedge fund replicators as a group of products tend to get a bad rap from hedge fund managers who suggest that the best a replicator can offer is dynamic beta capture. A

  4. Opalesque Exclusive: Pensions, endowments, family offices reconsider life settlement investments[more]

    Bailey McCann, Opalesque New York: Hedge funds were once the largest investors in the life settlement industry, now the industry is seeing more interest from pensions, endowments and family offices directly. Life settlements have always been considered a niche part of the investing landscape, an

  5. SEC allows investment funds to use social media[more]

    Bailey McCann, Opalesque New York: The Securities and Exchange Commission (SEC) has released new guidance letting investment funds and advisors use social media to promote client reviews. The guidance seeks to assist investment managers in developing compliance policies and procedures reasonably