Residential

The joint venture marks the first time the firm has set up a direct investment vehicle with a single institutional investor.

The venture between the US manager and the Netherlands’ biggest pension has made an initial investment in Leiden, Netherlands.

With a target of $8bn, Carlyle Realty Partners X is shaping up to be one of 2024’s largest fundraises.

Even during a fundraising slump, one of the world’s largest capital allocators just demonstrated institutions will make bets for the right firm and strategy.

While others said no to moving to Asia, the relocation was one of the major turning points for the executive’s 40-year real estate career.

The California pension plan’s backing of the vehicle marks its first investment with the New York-based manager.

An increasing focus on creating cashflow and upgrading buildings has changed how investment skills are prioritized, said panelists at INREV’s North America event.

The Atlanta-based firm has invested in the niche residential strategy – one of its high-conviction themes – in the US since 2022.

The firm, which closed $100m over its target for Fund VI, is part of a growing percentage of managers beating their fundraising goals.

Development viability has changed, but that may be good news for debt investors, says ICG Real Estate’s Jai Patel.