Capital watch: Capital raising nears $6bn for debt-focused strategies

Managers raising capital for North America-focused commercial real estate debt funds closed 10 funds totaling $5.8 billion during the first six months of 2023, according to data from Real Estate Capital USA. The year has been active for commercial real estate-focused debt managers, which closed two funds totaling $2.97 billion in the first quarter of the year.

Fundraising momentum in the first half of the year appears to be slower than it was during the same period in 2022, when managers raised $18.5 billion of capital. Through year-end, about $13.64 billion was raised for new funds, with 57 vehicles closed.

Managers that closed funds in the first half of the year included Brookfield Asset Management, which raised $4 billion for Brookfield Real Estate Finance Fund IV, and AllianceBernstein, which raised $3.11 billion for AllianceBernstein Commercial Real Estate Debt Fund III.