New York-based real estate private equity firm GTIS Partners has held a $716m final close for its latest fund, bringing its total equity raised to more than $3bn.
The US Residential Strategies Fund easily beat the $400m target it registered in filings with the US Securities and Exchange Commission, and has accelerated fundraising since holding a total of $185.9m in March.
GTIS president and CEO Tom Shapiro said the fund was already 60 per cent invested, with a primary focus on markets including New York, Georgia and states in the southwest of the country.
He said, “We re-entered the US residential marketplace as early as 2009, making us one of the first real estate investment companies to deploy substantial capital in anticipation of the return of the domestic housing market.
“We’ve continued to re-invest in the US, making strategic investments and seeking out new geographies where property valuations are expected to rise faster than the national average.
“We believe the US residential market provides some of the best risk-adjusted returns in the real estate asset class, which is evidenced by our new fund.”
Senior managing director Robert Vahradian added, “We believe in a diversified strategy to fully take advantage of the housing recovery across different markets and the various stages of the cycle.
“The various types of investments made post-crisis include acquiring distressed residentially-zoned land and partially completed subdivisions, land development and homebuilding, acquiring foreclosed homes for rental, and investing in urban high rise development in gateway cities.”
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