Success Breeds Success in PE Fundraising

NEW YORK CITY—Experience gets you far in private equity fundraising. Preqin said Wednesday that a handful of the most experienced PE real estate managers have raised the most capital in the past five years, and also have had the best track record for meeting or exceeding their fundraising goals.

The private equity research firm, based in New York City and London, reports that the 20 most successful managers globally may represent only 1% of the total number of active firms, but account for $69 billion of the $215 billion in available dry powder, or 32% of the total. The top three managers—the Blackstone Group, Lone Star Funds and Brookfield Asset Management—account for a total of $73 billion of the private capital raised in the commercial real estate space since 2009, a greater amount than the next 17 in the top 20.