NEW YORK, Jan. 24, 2017 — Cerberus Capital Management announced today that it raised $1.8 billion for its fourth global opportunistic real estate fund, Cerberus Institutional Real Estate Partners IV, L.P. (CIREP IV).
As with previous funds, CIREP IV will pursue an investment strategy focused on distressed or otherwise undervalued real estate transactions globally, with a focus in the United States and Western Europe. The fund received commitments from more than 60 investors, including sovereign wealth funds, public pension plans, corporate plans, insurance companies, endowments, foundations and high net worth individuals.
Ronald J. Kravit, Senior Managing Director of Cerberus, said, “We are delighted to announce the successful close of CIREP IV. We have an experienced investment team and the firm has been successfully investing in distressed and opportunistic real estate assets for over 20 years. We look forward to deploying CIREP IV and generating attractive returns to our investors.”
According to Evercore’s recent “European Distressed Real Estate Market” report, Cerberus was the most active buyer of commercial and residential mortgage and non-performing loan portfolios and distressed real estate in Europe in 2016, an investor league table milestone that it also achieved in 2014 and 2015. Cerberus accounted for 19 percent of European closed volume in 2016, acquiring €9.4bn of secured real estate loans.
Hodes Weill Securities, LLC acted as global placement agent for CIREP IV, and Axius Partners Pty Limited provided representation in Australia.
About Cerberus Capital Management, L.P.
Established in 1992, Cerberus Capital Management, L.P. is one of the world’s leading private investment firms. Cerberus has more than US $30 billion under management invested in three complementary strategies: global credit opportunities (which includes non-performing loans, corporate credit & distressed debt, mortgage securities & assets, and direct lending); private equity; and real estate. From its headquarters in New York City and network of affiliate and advisory offices in the U.S., Europe and Asia, Cerberus has the on-the-ground presence to invest in multiple asset classes globally.