US real estate manager Pearlmark has so far raised $300m (€282.3m) for its latest debt fund.
The Chicago-based investment firm said the Pearlmark Mezzanine Realty Partners VI, which had a $185m initial close in August this year, secured a further $115m in the second close.
Pearlmark said it intends the fund to have a final close in the first quarter of next year and expects to exceed its $400m target.
Pearlmark Mezz VI will invest in subordinated debt for multifamily, industrial and other property types in top US markets. The sixth high yield credit investment fund’s loan sizes are expected to range from a minimum of $5m to $50m or greater in combination with co-investment capital on larger loan sizes.
The manager said Pearlmark Mezzanine Realty Partners V, the predecessor fund, is almost fully invested in 25 high-yield credit deals.
Doug Lyons, managing principal and head of debt investments for Pearlmark, said: “There continues to be strong appetite from institutional capital for attractive risk-return in our middle-market mezzanine market, and significant demand from sponsor/borrowers for the structured gap finance products Pearlmark offers.”
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