Machine Investment Group Closes Second Real Estate Fund at $350 Million
With $350 million secured in primary commitments, Machine Investment Group has finalized its second flagship vehicle, hitting its hard cap despite a cooling fundraising climate. The firm, which specializes in distressed and opportunistic real estate, also secured $120 million in co-investments to bolster its market position.
The capital raise surpasses the firm's debut effort, Machine Real Estate Fund I, which closed in 2022 with $246 million in primary commitments. The new vehicle drew backing from a broad spectrum of institutional players, including pension funds, endowments, and family offices. Co-founder and managing partner Eric Rosenthal noted that the achievement is particularly significant given the current difficulties middle-market managers face when seeking capital for diversified strategies.
Machine’s investment mandate spans the top 30 U.S. markets, targeting value-add and special situations across the capital structure. The firm has already deployed capital into diverse assets, ranging from a 539-unit residential property in downtown San Jose to a 1.3 million-square-foot industrial park in Phoenix. Additional projects include senior housing on Long Island and strategic capital placements in data center development platforms. With this latest close, the firm's senior leadership team has now managed investment vehicles totaling approximately $2.4 billion.
Comments (0)
No comments yet. Be the first!