John D. and Catherine T. MacArthur Foundation, Chicago, committed $5 million to value-added real estate fund Cadre Direct Access Fund, Kristen Mack, spokeswoman for the $8.2 billion foundation, confirmed in an email.
The real estate fund, managed by commercial real estate management firm Cadre, invests across the U.S. in multifamily, industrial, office and portfolio properties, and also invests in local, underrepresented minority operating partners, a news release from Cadre said Tuesday.
"As a mission driven organization, the MacArthur Foundation looks for opportunities to make investments from its investment portfolio that align with its mission and values while seeking returns that meet our objectives," said Susan Manske, the MacArthur Foundation's vice president and chief investment officer, in the news release. "We are excited about the opportunity to partner with Cadre which has shown great skill at curating commercial real estate investment opportunities while seeking to level the playing field for investors, encourage local economic development, and promote diversity across the industry."
According to Cadre's website, the fund targets 50% of its investments in stable multifamily assets intended to generate risk-adjusted returns and downside protection, and 50% in office, industrial and hotel investments that "have a higher potential to generate upside as they recover from COVID-19 disruption."