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(Crystal Proenza is associate editor of Real Estate Florida.)

MIAMI-Adding to a growing number of similar announcements, locally based Park Capital Group LLC says it intends to invest $1 billion in business and real estate developments by next September, with plans to finance $200 million in projects around the globe this month. Up to two thirds of the private equity group’s investments are big development projects, says Vincent Bui, a spokesman for the real estate lending arm of Park Capital.

The names of the projects already financed have not yet been released, but there is one located in Ohio and one in Florida. The company says the fund is “wide open” and is not specifying any particular type of targeted property on the commercial end, promising to look at every individual deal separately.

The money used for the financing comes from private equity, says Bui, which is leveraged to acquire the amount needed for the fund. “We utilize our numerous overseas banking relationships to grow our funding base,” said Park Capital’s founder and CEO Matthew Kleinsmith in a release.

“This country was built by entrepreneurs, and our banks have all but turned their backs on these same people in their time of need. Park Capital Group will strive to achieve its goal of a $1 billion capital infusion into our economy,” added Kleinsmith, who declined to answer additional questions about the company’s investment plans.

A reluctance to reveal financial details has been a trend with many of the plethora of recently formed funds, especially in Florida, says Jack McCabe, CEO of McCabe Research & Consulting LLC in Deerfield Beach. Usually when lenders have their backs against the wall and have to move assets quickly, they turn to this type of opportunistic investor, he says.

“I think most people would say the funds that have cash and can consummate a transaction within 30 days non contingent on financing are really the key players that will make the majority of acquisitions in the future,” says McCabe, one of several speakers scheduled at RealShare South Florida on Sept. 17 in Miami. Those that are reliant on financing and financial approvals may find it very difficult to compete with the cash buyers, he says.

When asked about the success of such funds, McCabe says there are many that literally have billions of dollars that can make quick transactions, and some of those deals are starting to be made. But then there are other wanna-be players that are relying on third party financing or funds that will find it hard to compete, he says.

“I’ve been contacted by numerous funds, some that turned out to be real and others that turned out to be more ‘pie in the sky,’” he says. “The truth is many of the American funds that are looking to do 22% to 25% annual returns may not see many of those opportunities.”

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