CREC Closes Second Multifamily Fund at $80M

Private equity real estate investment firm CREC Real Estate has closed its second real estate fund, CREC Real Estate Fund II L.P., with $80 million in investor commitments, CREC Real Estate said.

CREC Real Estate Fund II L.P has a value-add focus within multi-family real estate investment. CREC’s investors include institutions, family offices and high net worth investors. CREC anticipates making four additional acquisitions throughout 2022.

As the fund manager, CREC is focused on acquiring value-add multifamily properties in dynamic and fast-growing secondary markets throughout the U.S. CREC targets properties where job and population growth have led to an undersupply of housing. 

Value-Add is a higher risk strategy, with returns mostly dependent on capital value growth via active asset management.

The fund will continue to pursue a value-add investment thesis, increasing asset values through management efficiencies, unit interior renovations, remediation of deferred maintenance, and improvements to the amenity package. 

CREC’s Founder and Chairman, Jeff Coopersmith says: “As we closed our 54th real estate investment during our 20th year as a sponsor, I appreciate the confidence and continued investment of our limited partners.” 

The fund has invested in multifamily acquisitions in the following MSAs: Tucson, AZ; Atlanta, GA; Cincinnati, OH; Hilton Head Island, SC; Charlotte, NC; Seattle, WA; and Phoenix, AZ. Two additional acquisitions are in contract in Dallas, TX and Charleston, SC.