Starwood Capital Group has raised around $10bn (€9.3bn) in capital commitments for its tenth opportunistic real estate fund – Starwood Global Opportunity Fund X (SOF X) – and has already invested more than $2bn in equity commitments for the fund.
Jerome Silvey, executive vice-president and CFO at Starwood, said: “More than 100 limited partners have committed to SOF X, including pension funds, sovereign wealth funds and other institutional and high net worth investors from around the world.”
The fundraising target for the opportunistic fund had been $4.5bn, Starwood said.
The fund’s investment programme was off to a strong start, the firm said, having closed or committed to around $6bn of deals representing more than $2bn in equity commitments.
Around half of these were in the US and half in Europe, it said.
Deals included the $1.4bn purchase of a diverse portfolio of office, logistics and industrial, hotel, retail and other assets in Sweden and Norway, which it said was last year’s largest property transaction in Scandinavia.
Starwood also said it sealed a $1.2bn deal for TMI Hospitality in the US with 184 operating hotels and more than a dozen being developed.
Like its predecessors, the new fund will focus on buying, developing and repositioning high-quality assets in almost all major property asset classes that have strong fundamentals, Starwood said.
The firm said it would be looking for direct, joint-venture or partnership investments that could generate consistent and growing returns.