Dune Real Estate Partners, the New York-based firm, has surpassed the fundraising target for its latest commingled vehicle by raising $960 million for Dune Real Estate Fund III.
Dune, whose founder and chief executive officer is Daniel Neidich, went on the road with a target of $850 million, it said, comfortably beating expectations.
In a statement, the company explained like predecessor funds, Fund III was focused on an opportunistic strategy concentrating on “distressed, deep value-add and contrarian investments” primarily in the US. It has projected equity commitments of $263.5 million in eight investments across the US, including a residential portfolio in Las Vegas, a high-end Los Angeles retail portfolio, industrial properties in Oakland, and a luxury residential development in Miami.
“We are pleased to announce the final closing of our third fund at a level that exceeded our target and would like to thank all of our investors for their support,” said Neidich.
Led by five partners, the company has so far raised $2.5 billion of equity capital since launching in 2005 and currently manages $3.6 billion of assets. The firm raised its capital from what it called a broad mix of institutional investors, including public and corporate pension funds, endowments and foundations and high net worth families, in addition to a commitment from the firm’s professionals.
Monument Group acted as placement agent on the equity raise.