Landmark raising largest RE secondaries fund ever

The Simsbury, Connecticut-based firm is targeting $750m for its latest real estate fund – the largest dedicated secondaries real estate vehicle ever. It comes amid a massive rise in LP demand for liquidity.

Landmark Partners is looking to raise the largest real estate secondaries fund ever targeting $750 million, according to people familiar with the matter.

The Simsbury, Connecticut-based firm, which specialises in private equity and real estate secondary interests and fund of funds, is expected to go out to market with the fund this quarter.

The fund would be the fourth dedicated real estate fund from Landmark, and will be known as Landmark Real Estate Fund VI. Landmark declined to comment.

The past six months has seen demand for liquidity by LPs soar, as investors struggle with the denominator effect and declining distributions. According to one secondary specialist, the last six weeks has seen unprecedented interest by LPs for potential secondary real estate sales.

Earlier this year, Landmark appointed former DTZ Investment Management executive Paul Parker in order to capitalise on growing demand among European LPs for liquidity.

Parker, based in London, was previously head of DTZ’s multi-manager and fund of funds business launching the firm’s first real estate fund of funds, Aurora Europe, for institutional investors. He joined Landmark in June.

Landmark, founded in 1989, only invested in private equity until 1996 when it branched out into real estate secondaries. It now has more than $6 billion in capital commitments – a fifth of that in real estate secondary programs – and has transferred more than 1,100 limited partnership interests in funds managed by more than 400 GPs.