Crow Holdings Capital Real Estate has raised $1.85bn for its latest US value-add fund.

The North America-focused asset manager said it closed its Crow Holdings Realty Partners VII vehicle.

As reported last year, the Teachers’ Retirement System of Louisiana and the Connecticut Retirement Plan and Trust Funds ‎are investing in the fund managed by Crow Holdings.

Dallas-based Crow Holdings is co-investing $100m in the US-focused fund, which aimed to raise $1.6bn.

By June last year, the fund had attracted $833m in commitments from investors, according to Connecticut.

Realty Partners VII, targeting an 11% net IRR, is using a loan-to-value ratio of approximately 65%.

The close follows its raising of $295m for the Crow Holdings Retail Fund in June last year.

Bob McClain, head of real estate investment strategies at CHC-Real Estate, said the fund was well-positioned to capitalise on opportunities and had a “strong pipeline”.

The fund will invest across industrial, retail, office, multi-family, convenience stores and gas stations, as well as hotel and self-storage.

Both existing assets and new developments will be bought for the fund.