Ares Management Corp. closed Ares U.S. Real Estate Opportunity Fund III at $1.7 billion, exceeding its fundraising target, the firm said Tuesday in news release.
The target for the firm's latest real estate fund was $1.5 billion with a $2 billion hard cap, according to a report to the board of the $215 million Plymouth County (Mass.) Retirement Association.
The fund is 70% larger than the $1 billion that was raised by its predecessor fund in 2015. It has already made nine investments. The fund's investments are expected to include distressed investments, properties that are being repositioned and some development.
Investors in the fund include the $5.8 billion Fresno County (Calif.) Employees' Retirement Association.