WASHINGTON, DC—Rock Creek Property Group has closed on its second fund, raising $60 million, which will be used to invest in the greater Washington DC area. The fund is targeting most CRE asset classes in the middle market category – that is investments in the $3 million to $30 million range. Investments will typically be value-add opportunities and strategic joint ventures.

It is a similar orientation as the company's Fund I, whose investments over the years have ranged from a  former charter school, which sold last year to the Embassy of the Sultanate of Oman to the sale of the Regal Center, a 52,500-square foot shopping center in Sterling, VA.

One change the company is introducing in Fund II, however, is that it will also look to acquire well-located, income-producing assets with the potential for long-term appreciation. In short, it will not be focused only on properties that have a short-term exit strategy. One of the lessons learned from Fund I and the company's current deal flow is that certain assets should be held longer term, principals Gary Schlager and Andy Glick said in a prepared statement. Its investors will be better suited with a mix of investment styles -- development, opportunistic and income-producing -- in one fund, they said.

"As the investment climate and our platform continue to evolve, we determined that it is more beneficial to our investors to mix development and opportunistic plays within the same investment vehicle as income-producing assets."

Rock Creek's Fund II has made a JV-led acquisition of 646-654 H St., NE; 1413-15 22nd St., NW, and 6833 4th St., NW.