Crow Holdings Tops $1B with Fund VI

DALLAS-Crow Holdings Capital Partners LLC said Thursday it had closed Crow Holdings Realty Partners Fund VI at $1.067 billion; a spokeswoman confirms that it's CHCP's largest fund to date. The initial fundraising target for Fund VI was $750 million.

As with Funds I through V, CHCP will focus on acquiring a diverse portfolio of income-producing assets via Fund VI. Property types under consideration would include industrial, retail, office, multifamily, convenience and gas stores, hotel, healthcare and land.

Bob McClain, CHCP's head of real estate, attributes the success of the funds to “our real estate professionals' fundamental approach to—and deep understanding of—real estate value creation. The successful closing of Fund VI affirms this approach, and we are delighted by the enthusiastic reception from existing and new partners alike.”

Since the launch of Fund I in 1998, the six funds have totaled $4.1 billion of equity capital, about $675 million of which has come from Crow Family Holdings. Prior to Fund VI, the largest of the series was Fund V, which closed at $952 million in 2008.

The funds' investment-type mixes over the past 15 years have varied, with some heavily weighted toward one asset class and others more diversified. Twenty-four percent of Fund I was committed to office, while 44% of Fund II and 37% of Fund III went to retail, 29% of Fund IV was multifamily and 49% of Fund V was multifamily.

As of June 30, 100% of the five investments made through Fund VI, or $298 million worth including co-investments, were in the apartment sector. However, CHCP's spokeswoman tells GlobeSt.com it's too early to determine what the product-type mix will end up looking like for the latest fund. The previous funds have averaged between 46 and 54 investments apiece.