Cerberus Capital Management has set a $3bn (€2.8bn) fundraising target for its latest real estate fund, according to people familiar with the matter.

The San Mateo County Employees Retirement Association also said in a board meeting document that it had approved a $30m commitment to Cerberus Institutional Real Estate Partners VI, a global opportunistic fund.

Cerberus raised $2.8bn for a previous fund in the series which closed in March of 2021.

Most of Partners VI’s capital is expected to be invested in the US and Europe with a small portion of investments expected in other regions as it targets a net internal rate of return 13% to 15%.

Partners VI is expected to consider a variety of investment opportunities including investing in direct assets, real estate companies, firms that have real estate assets, real estate debt and non-performing loan portfolios.

Cerberus declined a request for comment.

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