Torchlight raises $1.7bn for sixth property debt fund

Torchlight Investors has raised $1.7bn (€1.5bn) for its latest real estate debt fund, according to people familiar with the matter.

IPE Real Assets reported in May that the Torchlight Debt Opportunity Fund VI fund was expected to receive more than $1.5bn at final close at the end of the month.

Its predecessor raised $1.36bn.

As previously reported, Teachers’ Retirement System of Louisiana, State of Wisconsin Investment Board and Texas Municipal Retirement System all committed capital to Torchlight’s sixth real estate debt fund. 

According to sources, the manager has now completed the fundraising with $1.68bn in capital commitments.

The fund will take debt positions on value-add real estate transactions, including senior loans, mezzanine financing, commercial mortgage-backed securities and preferred equity.

It will target net returns of between 12% and 15% and an annualised distribution rate of at least 6% once fully invested.


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    Asset class: Direct Real Estate.
    Asset region: Europe excluding Switzerland.
    Size: 150m.
    Closing date: 2019-10-30.

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