News January 10, 2022
Madison Realty Capital closes $2bn fifth fund
PERE reports that Madison Realty Capital has closed its fifth real estate debt fund with $2.08 billion in capital commitments. The raise represents the $8 billion firm’s largest fundraising effort since its inception in 2004, exceeding an initial target of $1.75 billion. Madison Realty Capital Debt Fund V is the largest US-focused debt fund raised since the start of the pandemic and the second largest debt fund to close in the past year. Only Brookfield’s Real Estate Finance Fund IV, which closed on $4 billion in December, has raised more. The fund will continue Madison’s strategy of originating special situations and transitional senior loans, as well as buying non-performing loans across a multitude of asset classes and geographies within the US. It also provides financing for ground-up development. Fund V is already around 50 percent committed. Geographically, the fund will focus on most of the major markets in the US. Currently, Madison has a significant presence in New York, California, Los Angeles, Boston, Chicago, Miami and Austin.