Invesco Real Estate has closed its US value-add real estate fund at $2bn (€1.8bn), according to the fund manager.
The manager said the Invesco Real Estate US Fund VI fund’s total capital commitments at close was $1.98bn.
The capital raise exceeded the fund’s $1.5bn target and $1.75bn hard cap.
According to Fresno County Employees’ Retirement Association’s (FCERA) meeting document, the capital raised for the fund included a $75m co-investment from Invesco and $200m in sidecar commitments from limited partners (LPs) in the fund.
As previously reported, FCERA made a $50m commitment to the Invesco fund. Contra Costa County Employees Retirement Association also approved a $100m commitment to Invesco’s latest US value-add property fund.
Max Swango, managing director and global head of client portfolio management for Invesco Real Estate, said: “We were able to raise more capital than our target and hard cap as Invesco and our LPs both agree that there are strong investment opportunities in the value-add sector and less competitive capital in the marketplace.”
Swango said the fund’s investor base comprises LPs that have invested in the fund series previously, investors who have invested with Invesco in other real estate strategies and new LPS to the firm.
FCERA disclosed in the meeting document that the fund is expected to complete three industrial deals involving Passport Park Phase I, a $168m project in Dallas; Hampshire 9/29, $49m project in the Meadowlands area of New York and the acquisition of the Coastal Logistics property in Norfolk for $108m.
The fund is also expected to buy the Apartments at Brayden in Charlotte for $81m.
As previously reported, the fund acquired a 75% stake in single-family rental platform Avanta Residential.
To read the latest edition of the latest IPE Real Assets magazine click here.
