Madison International Realty has closed its 鈥檒iquidity fund鈥� with $825m of equity.
US public pension funds, Middle Eastern sovereign wealth funds, insurance companies and family offices have backed Madison鈥檚 Real Estate Liquidity Fund V.
The fund seeks exposure to properties by buying into existing ownership structures where owners are looking to either deleverage or sell individual stakes.
Around 40% of capital raised has been deployed, the firm said. With Europe鈥檚 recovery lagging that of the US, Madison鈥檚 latest fund has been notably active on the continent, investing in Oslo, Dublin and, via Songbird Estates, London鈥檚 Canary Wharf.
With a preference for existing office and retail, the private equity firm has stuck to a niche strategy of targeting opportunities within the core space, with a preference for prime property in main cities.
In the US, it has bought in LA and San Francisco, buying into One California Plaza tower in LA and Saks Fifth Avenue in San Franscisco鈥檚 Union Square.
In Europe, Madison has invested in Dublin鈥檚 New Century House office building and the Statoil office complex in Oslo, where it has also invested in the luxury retail sector. Madison founder and president, Ronald Dickerman said the firm has 鈥渋dentified a pipeline of attractive investment opportunities.鈥�
Madison V is the third fund to be oversubscribed.
