Green Courte Partners has closed its latest value-added fund on $400 million, hitting its target, last month, according to a filing with the Securities and Exchange Commission.
The Chicago-based private equity real estate firm began fundraising for Green Courte Real Estate Partners IV in 2015, PERE previously reported.
Managing director Marnie Helfand said the firm had a $500 million hard cap for the vehicle.
Green Courte closed the predecessor vehicle in 2011 on $407 million, according to PERE data.
The firm did not use a placement agent, and the majority of the investors in the fund series returned to commit to the fourth vehicle, Helfand said. The fund series’ investor base was largely university and hospital endowments, along with other institutional investors.
Because these groups have a longer investment horizon than many other limited partners, the firm averages a 10-year to 12-year hold period. Green Courte focuses on niche property types ranging from airport parking to manufactured housing.
“Our strategy is to build operating businesses within these sectors,” Helfand said. “Rather than buying multiple assets within sectors, we’re building management businesses and operating businesses with the goal of aggregating and exiting a rolled-up entity.”
Through the latest fund, the firm is branching out into senior housing, focusing on age-restricted multifamily properties that do not have a medical care component, but are purpose-built for seniors, with more common spaces such as a movie room and dining facility.
The firm’s most recent publicly disclosed transaction was the October 31 purchase of three independent living facilities in the Detroit suburbs for an undisclosed price, according to a statement earlier this month.