Brookfield Asset Management Inc. (NYSE:BAM) (TSX:BAM.A) held the final close on Brookfield Real Estate Finance Fund V with total commitments of $3 billion.
BREF V will employ a value add strategy, with Brookfield originating whole loans and then syndicating the senior piece of the loan to a third party, while retaining the mezzanine-level loan. It intends to focus on primary markets within the U.S., but will retain the option to invest up to 20% of assets in select markets outside the US.
Investors in the fund are a diverse group of 64 institutional investors, including public and private pension plans, sovereign wealth funds, financial institutions, endowments, foundations, and family offices.
Brookfield committed $400 million to the fund, aligning its interests with those of the other Fund investors.
To date, the fund has made nine investments, representing aggregate mezzanine lending commitments of approximately $422 million.
BREF V is Brookfield’s fifth commercial real estate finance fund targeting mezzanine debt investments. Brookfield manages approximately $225 billion in assets globally, and is the second largest property manager in the world. He stated that