Realterm announces that it has closed on $610 million in Limited Partner commitments for its Realterm Logistics Fund IV (RLF IV). RLF IV is the fourth fund in the firm’s U.S. closed-end, value-add Realterm Logistics Fund Series. As with its predecessor funds, RLF IV invests in high flow through (HFT®) logistics real estate throughout the U.S.
“Institutional appetite for HFT logistics real estate remains strong, and we expect RLF IV to be oversubscribed and raised to its hard cap,” said Pete Lesburg, Managing Director, Capital Markets for Realterm. “We have seen strong institutional support from existing Realterm partners across our family of funds and been fortunate to welcome in several new investors into this fund series.”
Realterm launched fundraising for RLF IV in late Q4 2021 and held the Fund’s second closing in early May, bringing the total fundraise to $610 million. With the Fund’s investment period about to commence, its controlled investment pipeline already sits at more than $300 million in gross investment value. From inception, the RLF Fund Series has invested $1.2 billion across nearly 115 HFT assets, generating top quartile returns upon realization of each of the first two funds in this series.
Strategically located in and around major population centers, primary distribution hubs and along major freight corridors, HFT properties facilitate the movement, not the storage, of freight through the nation’s supply chain. Property types include cross-dock truck terminals, transload and related trans-shipment, final mile delivery facilities, industrial outdoor storage, and parcel sortation, among others.
“The demand for direct-to-consumer delivery continues to increase at an exponential rate and has generated tremendous growth in the HFT real estate market,” said Ed Brickley, Managing Director and Senior Fund Manager, Realterm. “This very successful fundraise illustrates investor enthusiasm in our investment strategy and their confidence in our team.”
RLF IV is the 11th fund successfully launched across the Realterm platform.