Mesirow Financial announced the final closing of Mesirow Financial Real Estate Value Fund III, L.P. with equity commitments of $567 million from institutional investors across the U.S., Europe and Australia.
The fund is managed by Mesirow Financial’s Real Estate – Direct (“MFDRE”) team, which employs a value-added real estate strategy primarily focused on the U.S. multifamily sector with a secondary focus on the student housing sector. The successful closing of the fund will build on the strong track record of performance established with Funds I and II, and position the team to acquire more than $1.6 billion in real estate assets.
“Our value proposition is to provide qualified institutional investors with compelling direct investment opportunities in the real estate industry that they might otherwise not have access to,” Alasdair Cripps, CEO and co-chief investment officer for MFDRE said. “This strategy leverages not only our investment acumen, but our deep-rooted relationships in the market—all for the benefit of our clients. As stewards of capital, we will continue to be opportunistic and disciplined as we evaluate opportunities to acquire real estate assets.”
Over the last five years, the MFDRE team has raised over $1.5 billion in equity and has invested in nearly 13,000 multifamily units in 23 cities nationwide. Assets are diversified across suburban and urban properties and U.S. geographic regions, as well as by construction type and vintage year. By design, the properties acquired share close proximity to public transit and are all located in areas with significant differentials between costs-to-own and costs-to-rent.
“This is a great milestone for our investors and for the team,” said Mesirow Financial president Dominick Mondi. “As a firm, we remain excited about the significant opportunities offered in the multifamily real estate market.”