Ares Management closed its $1.04 billion Ares U.S. Real Estate Fund IX, raising 26% more capital than its last U.S. real estate fund, according to a news release.
The Ares U.S. Real Estate Fund VIII closed at $825 million in December 2014.
The new fund will invest primarily in multifamily, industrial and office properties in the U.S. The fund is close to 50% committed to 12 investments, representing about 4,300 multifamily units, and 15.7 million square feet of industrial and office space.
Investors in the fund include the $33.9 billion Texas Permanent School Fund, Austin, and the $24.5 billion San Francisco City & County Employees' Retirement System.
Ares spokesman Bill Mendel could not be reached for comment.