The Carlyle Group will acquire Metropolitan Real Estate Equity Management, a global real estate fund-of-funds manager, Carlyle announced Wednesday.
Financial terms were not disclosed, and the transaction is expected to close in November, subject to consent from Metropolitan's investors.
Metropolitan has raised more than $2.6 billion in capital commitments across 16 commingled funds since it was established in 2002. It is mainly focused on value-added/opportunistic real estate investments.
Metropolitan will become part of Carlyle's solutions platform, which also includes AlpInvest Partners, the $48 billion private equity fund-of-funds group. The real estate firm's current management team will remain intact. It is led by David Sherman, co-chief investment officer. Mr. Sherman will also become head of real estate within the solutions group.
Carlyle spokeswoman Elizabeth Gill and spokesman Christopher Ullman did not return telephone calls by press time. Doug Lee, managing director, head of capital markets at Metropolitan, was not available by press time.
