New York-based real estate private equity firm Madison Realty Capital has launched its sixth debt vehicle with $914.4 million raised in capital commitments, according to public filings.
Madison Realty Capital Debt Fund VI launches with nearly half of its $2.25 billion target, showing that investors remain bullish on real estate debt despite ongoing market volatility.
The launch comes after predecessor Madison Realty Capital Debt Fund V closed at the start of the year with $2.08 billion in investor commitments, exceeding its $1.75 billion target.
The firm, which completed $6.4 billion in total deal volume last year, originates senior secured and mezzanine debt as well as preferred equity investments, which are used for the construction, acquisition and refinancing of commercial real estate as part of its debt fund series. Madison Realty also acquires non-performing loans and preferred equity positions, as per the company’s website.
The latest iteration will follow the same strategy as previous vehicles in the series. The offering will not last longer than one year, according to the Form D filing.