The fund has closed on $23 million in commitments to date with a goalof $50 million and the potential to expand to $100 million at somepoint, says senior partner Bryan Kornblau. It is currently targetingpension funds and endowments as potential institutional partners. The investment strategy is focused on restructuring capital in troubled projects, he tells GlobeSt.com. "We like to be tied high in the capital stack, adding incremental capital to add value." Kornblau adds that the company is not just a financial player but also has experience on the development and execution side. "We are able to move a project along on allfronts," he says.

The company was spotlighted recently with its investment in West Broad Village, a local $300-million mixed-use project that was in danger of default. The company partially funded a $9-million debt infusion--its largest-sized investment to date, which is also illustrative of its sparing use of capital, Kornblau says that helped saved the project.West Broad Village was ready to be taken back by the bank at a large haircut, he explains.

The fund has largely focused on the Central Virginia marketplace, in such cities as Richmond and Charlottesville and also the Tidewater area. However it is also interested in other areas in the Mid-Atlantic, says Richard E. Core Jr., a senior associate at the company. "We would also consider Maryland and the Carolinas." Demand for the fund'sinvestment approach has been strong, he tells GlobeSt.com. "We have had requests to go as far afield as Arizona or Nevada."