BridgeInvest Raises $670M for Fourth Private CRE Credit Fund
The Miami-based lender aims to target multifamily, industrial, hospitality and retail sectors in the $25 million to $150 million range
By Brian Pascus August 14, 2024 2:27 pm
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BridgeInvest, a private real estate lender based in Miami, has closed its fourth speciality credit fund — Fund IV — by raising $670 million in new equity to invest across the commercial real estate credit landscape.
BridgeInvest Specialty Fund IV represents the firm’s largest fundraise to date, vastly exceeding the $270 million in equity commitments BridgeInvest secured for Fund III in August 2020.
The firm was founded in 2011.
Alex Horn, managing partner of BridgeInvest, told CO that the new fund will target the multifamily, industrial, hospitality and retail sectors, with special interest in sub-asset classes like student housing and self-storage — no office.
“We were able to successfully raise the capital in 18 months,” said Horn. “The Fund will be focused solely on providing senior secured financing to commercial real estate properties located across the U.S.”
Armed with new capital, Fund IV plans to deploy credit into deals ranging from $20 million to $150 million and aims to close up to $1.2 billion in transactions over the next two years, said Horn.
Horn said the $670 million fundraise came from a combination of limited partner [LP] capital coupled with investor relationships the firm has already established in its parallel investment vehicles.
Horn added that the firm’s previous three funds have been financed through the equity of boutique investment managers, family offices, foundations, and large institutions; he emphasized that BridgeInvest has maintained a 90 percent investment rate across Funds I through IV.
“This success is attributed to our track record and our ability to remain focused on originating and structuring loans that provide our investors with what we believe to be attractive risk-adjusted returns across market cycles,” he said.
Notable projects capitalized by BridgeInvest include $34 million in acquisition financing to the Birch Group for its purchase of The Pennington, a 147-unit multi family in Passaic, New Jersey, a suburb 15 miles from Manhattan; and $37.8 million in financing to a joint-venture between Stonemont Financial Group and Cerberus Capital Management to fund the development of three industrial facilities in California, Nevada, and New York, respectively.
Brian Pascus can be reached at bpascus@commercialobserver.com
