CapRock Partners has raised $250m (€205.5m) for its third US industrial value-add fund at final close.
In May last year, the manager announced a $180m first and subsequent second closing of the CapRock Partners Industrial Value-Add Fund III.
Jon Pharris, president of CapRock Partners told IPE Real Assets that the $250m capital raised for CapRock Partners Value-Add Industrial Fund III means that the fund has reached its hard cap target.
“The amount we raised directly into the commingled fund, plus an additional amount of co-investment equity and leverage will allow us to acquire $1bn worth of industrial assets going forward,” Pharris said but declined to disclose the amount of the co-investment capital raised.
The leverage planned for the fund will be 55% to 65% loan-to-cost at the individual property level.
San Francisco Employees’ Retirement System said in a meeting document that it approved a $50m commitment to the fund, a commitment which represents the pension fund’s first investment relationship with CapRock.
“By the mid-point of 2021, we will have allocated around 1/3 of the transactions for the fund,” Pharris said.
The fund will focus on the acquisition of middle-market, value-add industrial properties, typically between $15m to $50m per acquisition, mainly across California, Nevada and Arizona.
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