On August 19, 2016, the Sares-Regis Multifamily Value-Add Fund II (the “Fund”) held a final close, having raised over $300 million in total equity commitments. Utilizing leverage, the Fund will seek to acquire approximately $850 million of assets in its target markets.
“We are very pleased to have exceeded our target raise of $250 million, bringing together a number of repeat investors from our first fund with several new top tier institutional investors,” said Ken Gladstein, the Fund’s President. Investors in the fund include insurance companies, public pension funds, wealth managers and other institutional investors from the United States, Europe and Asia. “The focused strategy of the fund allows for immediate deployment of investor capital to take advantage of numerous value-add acquisition opportunities in our pipeline,” he added.
Sares Regis (“SR”) formed the Fund to capitalize on attractive multifamily fundamentals in the Western United States, as well as the potential to create value via the renovation and repositioning of well-located Class-B properties by leveraging SR’s vertical operating capabilities. The Fund targets assets in Northern and Southern California and the metropolitan areas of Seattle, Portland, Denver and Phoenix.
To date, the Fund has acquired three assets that, in aggregate, represent approximately 20% of the Fund’s total commitments. The Fund’s first two investments are in the Los Angeles metropolitan area and the third is in San Diego. A fourth investment in Denver is expected to close in the next few weeks. “The fund has a focused, well-defined, value-add strategy to purchase, manage, reposition, aggressively operate and sell high-quality multifamily assets in major western U.S. markets,” said Bill Montgomery, the Fund’s Chief Investment Officer. “SR’s skill as an investor, manager, developer and contractor, provides experience and depth in every stage of the value-add process as well as economies of scale that will benefit investor returns,” he added.
Accord Capital Partners LLC, along with its affiliate, Accord Europe Limited, served as exclusive global capital advisor to SRG.
ABOUT SARES•REGIS and Sares•Regis Multifamily Funds
As a leading western U.S. real estate investor and developer founded in 1993, SR manages a portfolio of over 16,000 units for its partners and investor clients. With the Sares•Regis Multifamily Funds, which launched in 2013, SR has deployed approximately $170 million of equity across twelve Class-B multifamily assets with a total capitalization over $475 million in its target markets in the Western U.S. For further information on the SRG multifamily fund platform, visit: https://srgfunds.com.
ABOUT ACCORD CAPITAL PARTNERS LLC
With headquarters in San Francisco and additional offices in Chicago and London, Accord Group Holdings LLC (“Accord”) harnesses a powerful combination of capital markets, investment management and principal investment capabilities for a wide variety of participants in the real estate private equity industry globally. Through Accord Capital Partners LLC, its broker/dealer affiliate in the United States, Accord provides advisory and capital raising services to its clients. For further information on Accord, visit: www.accord-group.net.