Crow Holdings targets $750m for sixth fund

The Dallas-based investment arm of the Trammell Crow Company has kicked off fundraising for its latest US value-added fund, seeking all asset classes of real estate.

Crow Holdings Capital Partners has launched its sixth US diversified real estate fund, PERE has learned. 

The Dallas-based firm, which manages the investments of the Trammell Crow family and its partners, launched Crow Holdings Realty Partners VI, a value-added vehicle seeking $750 million in equity commitments. Although representatives from Crow Holdings declined to comment, sources familiar with the situation have revealed that the commingled vehicle will follow the same strategy as the firm’s previous five funds in the series.

Like its predecessors, Fund VI will invest in a portfolio of domestic real estate, including industrial, grocery-anchored and neighborhood retail properties, multifamily housing, offices, hotels and land. The vehicle will include income-oriented investments with modest forecasted appreciation as well as value-added investments.

Sources were unable to reveal the fund’s net IRR or annual preferred rate of return. 

Since 1998, Crow Holdings has raised five commingled vehicles with equity commitments totaling $3.05 billion, approximately $600 million of which has been committed by the firm. Its prior fund, Crow Holdings Realty Partners V, was launched in 2008 and raised $951 million in equity commitments, including $150 million from Crow Holdings itself, for value-added and opportunistic investments.

Fund V currently is 81 percent invested. Once it is fully invested, Crow Holdings will begin investing on behalf of Fund VI.