Related Companies has raised $1bn (€917m) for its second US opportunity fund.
The company’s Related Real Estate Fund II was oversubscribed, having initially targeted $850m.
Sovereign wealth funds, public pension plans, corporate plans, multi-managers, endowments, foundations and family offices backed the fund.
Related said the fund would invest in underperforming US real estate in need of repositioning, conversion or renovation.
US gateway cities and major urban centres including New York, Boston, Chicago, Los Angeles, Miami and San Francisco will be the fund’s main focus.
Justin Metz, managing principal at Related Fund Management, said: “We are extremely encouraged by the response from the investor community on this latest fund offering.”
The fund has made several investments for the new vehicle, he said.
The Related Real Estate Recovery Fund, closed in 2012, is now fully invested.
Assets include Chicago’s 111 West Wacker Drive, Boston’s 100 Arlington and Lovejoy Wharf, and New York City’s 511-541 West 25th Street.