Moorfield has raised 拢350m (鈧446m) from US, European and Japanese investors for its UK-focused opportunistic/value-added real estate fund.
The private equity manager鈥檚 Moorfield Real Estate Fund III received 拢250m of discretionary capital commitments and 拢100m of co-investment commitments.
Moorfield said it would supplement the equity with joint venture capital, taking the fund鈥檚 equity to around 拢500m over the next three years.
Marc Gilbard, chief executive at Moorfield, said the raising gave MREFIII the flexibility to deploy a 鈥渟ignificant amount鈥 of leveraged capital in the UK real estate market.
Investors in the fund are 鈥渟plit broadly equally between existing and new relationships鈥, the company said.
鈥淲e are pleased to have been able to expand our investor base in terms of geography and investor type,鈥 Gilbard added.
MREFIII is targeting 15-20% IRR returns for the fund, which recently bought an office property in west London from Threadneedle Investments for 拢22m.
The funds has also invested in assets in Aberdeen, Manchester, Liverpool and Edinburgh.
Moorfield said MREFIII would target sectors and sub-sectors with 鈥渁ttractive supply and demand dynamics鈥.
, Moorfield鈥檚 Real Estate Fund (MREF) and Real Estate Fund II (MREFII) agreed to sell a diversified real estate investment portfolio to Lone Star Real Estate Fund III for around 拢1bn.