Dune taps Morgan Stanley exec Oliner

Dune Real Estate Partners have hired former Morgan Stanley commercial mortgage trading senior manager David Oliner. It comes as the firm raises its second property vehicle, Dune Real Estate Fund II.

Dune Real Estate Partners has appointed former Morgan Stanley senior manager David Oliner as partner and a member of the firm’s investment committee.

Oliner was previously principal trader and risk taker in Morgan Stanley’s commercial mortgage trading group. He joined the bank’s securitised products group in 1998, and during his 11 years with the firm was responsible for structuring, originating, acquiring, pricing and trading all forms of commercial real estate debt, including CMBS.

Dune is in the process of raising its second vehicle, Dune Real Estate Fund II, and has raised $793.9 million in commitments for the fund, according to filings to the US Securities and Exchange Commission. The vehicle is targeting $1.25 billion.

The vehicle is expected to target non-performing loans and debt as well as distressed commercial and residential real estate and over-leverage sellers. Fund documents from the Illinois State Universities Retirement System show that Dune Real Estate II aims to achieve IRRs of 18 percent net of fees, with management fees of 1.5 percent a year.

In a statement today, Dune said Oliner also worked at Bankers Trust between 1993 and 1998 in the sub-performing commercial real estate debt trading business, with his group acquiring $2 billion in performing and sub-performing loans from federal agencies and financial institutions.

Dune Real Estate was formed in 2006 by Dan Neidich, along with Chip Seelig and Steven Mnuchin. The firm is the real estate arm of Dune Capital Management. Neidich previously founded Goldman Sachs’ Whitehall Street Real Estate Funds in 1991, raising more than $12 billion for the bank.