Goldman Sachs Asset Administration has raised a report $3.4bn (£2.7bn) for its third actual property secondaries fund.
Classic Actual Property Companions III (VREP III) closed above its fundraising goal, with commitments from a spread of institutional and high-net-worth buyers, in addition to Goldman Sachs staff.
The asset supervisor mentioned that VREP III represents the biggest devoted actual property secondaries fund ever raised.
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Its predecessor fund, VREP II, beforehand closed on $2.75bn of commitments.
“We imagine the present market surroundings represents probably the most compelling deployment alternatives that now we have noticed in actual property secondaries,” mentioned Harold Hope, world head of classic methods at Goldman Sachs Options.
“As the biggest devoted actual property secondaries fund raised to this point, VREP III shall be well-positioned to capitalize on more and more engaging alternatives, in a market the place measurement is a significant aggressive benefit. We’re grateful to each our present and new buyers, and because of their help our staff shall be unconstrained in the case of pursuing actual property secondary transactions of all sizes.”
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Goldman Sachs, which has over $42bn of belongings beneath administration within the secondaries area, mentioned that there’s at the moment excessive demand for liquidity of personal actual property funds amid difficult market circumstances.
“Demand for actual property secondary options throughout each LPs and GPs is at an all-time excessive, pushed by the turmoil in world actual property markets and a robust want for liquidity,” mentioned Sean Brenan, who leads actual property investing exercise for Goldman Sachs’ classic methods. “We imagine the strain on actual property is right here to remain for the foreseeable future, and we’re hopeful that this capital will allow us to proceed to be a accomplice to actual property market members who want modern capital options to assist alleviate a few of their liquidity wants.”
Goldman Sachs has been lively within the non-public actual property sector of late.
In Could, it introduced that it had raised over $7bn for its actual property credit score methods after closing West Avenue Actual Property Credit score Companions IV and associated automobiles.
