Brookfield just finished raising its largest real estate fund to date

The $15B fund is second-largest ever to close in private real estate

National /
Jan.January 31, 2019 11:45 AM

Brookfield CEO Bruce Flatt and 666 Fifth Avenue (Credit: Wikipedia, Google Maps, and Pixabay)

Brookfield Asset Management’s $15 billion property fund is ready to roll.

The firm has finished raising money for the fund, which is the largest ever for the company and the second largest in private real estate, just behind Blackstone Group’s $15.8 billion fund that closed in 2015, according to the Wall Street Journal. Blackstone is almost finished closing a $20 billion fund this year as well.

Brookfield has already made 10 investments using more than $5 billion from the fund, including its purchase of 666 Fifth Avenue from the Kushners and its privatization of Forest City Realty Trust. The fund’s massive size gives Brookfield a lot of clout and will also compel it to focus on large deals, which can be challenging.

The firm started fundraising last year, and its initial goal was $10 billion. It plans to focus on high-quality real estate and avoid properties that can take a long time to generate cash flow, such as development sites. Last year, Brookfield took on several development and redevelopment projects across New York City.

Brookfield told the Journal that more than 150 investors committed to the new fund, ranging from endowments to foundations to sovereign wealth funds. [WSJ] – Eddie Small


Related Articles

arrow_forward_ios
With a cooling trade war, stocks perform well, including real estate. (Credit: iStock)
Real estate stocks push up this week as U.S.-China trade tensions ease
Real estate stocks push up this week as U.S.-China trade tensions ease
416 West 25th Street and Maverick Real Estate Partners principal David Aviram (Credit: Google Maps and LinkedIn)
Chelsea landlord claims “predatory” lender is charging a crippling interest rate as punishment after losing foreclosure case
Chelsea landlord claims “predatory” lender is charging a crippling interest rate as punishment after losing foreclosure case
Brookfield's Bruce Flatt with 1100 Newark Turnpike (Loopnet, Brookfield)
Brookfield buys CSX industrial site in Northern New Jersey for $67M
Brookfield buys CSX industrial site in Northern New Jersey for $67M
Photo illustration of Blackstone's Jon Gray and Starwood's Barry Sternlicht (Blackstone/YouTube, Getty; Illustration by Kevin Rebong for The Real Deal)
Commercial property fund withdrawals surge
Commercial property fund withdrawals surge
A photo illustration of Blackstone president Jon Gray (Getty, Blackstone)
Asian investor selloff led to Blackstone raising the gates
Asian investor selloff led to Blackstone raising the gates
The Torkian Group's Hersel Torkian and 250 East 83rd Street (Getty, Google Maps, The Torkian Group)
Torkian nabs $145M loan for Upper East Side development
Torkian nabs $145M loan for Upper East Side development
Triangle Equities' Lester Petracca with 533 Main Street (Triangle Equities, Getty)
Record East Orange project lands $317M financing
Record East Orange project lands $317M financing
198 Scholes Street, 65 Kent Avenue, 506 DeKalb Avenue and 11 Gunther Place (Illustration by the Real Deal with Getty, Google Maps)
Avi Philipson deal to acquire All Year portfolio is back on
Avi Philipson deal to acquire All Year portfolio is back on
arrow_forward_ios

The Deal's newsletters give you the latest scoops, fresh headlines, marketing data, and things to know within the industry.

Loading...