EQUITY CAPITAL – COMMINGLED FUND-RAISING
Client: A 50-year+ privately-held, fully-integrated owner-operator with prior listed-company experience and an impeccable investor track record in the Eastern U.S. commercial and hospitality markets.
Challenge: This Client created an impressive 30-yr+ track record of performance for its institutional LP partners via asset-specific funding (JVs). Client desired to move toward a discretionary capital investment strategy, via a first-time institutional commingled-fund. For the 12-month period prior to launch of this first-time Fund raise, 88% of real estate private equity capital funds were raised by existing Fund managers (for follow-on Funds or re-ups).
Opportunity: PalladianRC identified applicable successful case-studies within the Client's performance track record, and positioned the Client's institutional foundation as key to fundraising success. These attributes warranted strong consideration from institutional clients and consultants for investment in this first-time vehicle.
Solution / Execution: PalladianRC worked with the Client to prepare reporting, marketing, and legal materials for Fund launch, acting as the sole third-party agent to raise equity capital. Differentiation of the Client’s track record, capabilities, and unique management attributes were key to the fund-raising success and ultimate deployment. Furthermore, PalladianRC worked with the Client and identified higher probable limited partner (LP) prospects to be more effective in a competitive fund-raising period. This Fund has been 81% deployed*, with this Client’s Fund II (follow-on Fund) in preparation.
[This private company has been a PalladianRC customer or relationship for 26 years]