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Walker & Dunlop Investment Partners Announces Final Investment from Nearly $80 Million Fund VI
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Rhea-AI Summary
Walker & Dunlop Investment Partners (WDIP) has completed its final investment from its sixth fund, Fund VI, which focused on niche middle-market commercial real estate. Launched in Q1 2021, the fund raised $79.3 million and facilitated eight equity investments totaling $259 million. These included industrial properties, hotel-to-multifamily conversions, and distressed office transactions. Marcus Duley, WDIP's CIO, expressed optimism about the portfolio's performance despite market uncertainties. Since 2006, WDIP has advised on over $14.8 billion in real estate transactions.
Positive
Fund VI successfully closed with $79.3 million raised and deployed across eight investments.
The total capitalization of the investments amounted to $259 million, indicating strong investment activity.
Portfolio designed to perform well despite market uncertainties, demonstrating investor confidence.
Management is on track for yields above expectations for new developments, suggesting solid future returns.
Negative
None.
BETHESDA, Md.--(BUSINESS WIRE)--
Walker & Dunlop Investment Partners, Inc. (“WDIP”) today announced that it has made the final investment from its sixth fund, Walker & Dunlop Investment Partner Fund VI (“Fund VI”).
Launched in Q1 2021 with a strategy to invest in niche, opportunistic middle-market commercial real estate, the fund had its final close in Q2 2022. The $79.3 million of capital in Fund VI and co-investments was deployed between Q1 2021 and Q4 2022 across eight equity investments with a combined total capitalization of $259 million.
The eight investments included four industrial deals, two hotel-to-multifamily conversions, one build-for-rent investment and one distressed office transaction.
“We are very pleased with the portfolio we built for Fund VI which is positioned to perform well despite current market uncertainties and macroeconomic headwinds,” said Marcus Duley, chief investment officer of WDIP. “We have acquired properties at attractive bases relative to replacement cost and are executing business plans that create intrinsic value. For our new development investments, we are on track to achieve stabilized yield-on-costs well above exit cap expectations. This will serve to protect investor downside while positioning the investments for upside realization.”
Walker & Dunlop Investment Partners was founded in 2006 and has gained prominence across the country as one of the real estate industry’s leading middle market investment managers. Since its inception, the firm has invested in or advised on more than $14.8 billion of real estate in over 600 transactions.
Added Marcus Duley, “We continue to remain very active in the market and expect to see strong investment opportunities on behalf of our managed accounts and any potential future funds.”
About Walker & Dunlop Investment Partners
Walker & Dunlop Investment Partners (“WDIP”) is an alternative investment manager that provides capital solutions to middle-market commercial real estate sponsors. Investing on behalf of insurance companies, public pension funds, endowments, foundations, family offices, and high-net worth individuals, WDIP partners with sponsors whose transactions are in need of financing but are under-served by institutional capital. The Denver, Colorado-based firm's investment vehicles focus on opportunistic, value-add, and income-oriented commercial real estate strategies. As a wholly owned subsidiary of Walker & Dunlop, one of the largest commercial real estate finance companies in the United States, WDIP has unmatched access to proprietary resources and market intelligence. This partnership offers clients unique, real-time insights into market movements, valuation, pricing, and underwriting. For more information, visit www.wdinvestmentpartners.com.
All investments have risk of loss and WDIP cannot guarantee any investment strategy will achieve its goals and objectives. Nothing herein is an offer to sell any security, including an interest in any private fund.
What is the significance of Walker & Dunlop's Fund VI completion?
The completion of Fund VI indicates WDIP's successful capital raising and investment strategy in middle-market commercial real estate.
What type of investments were made in Fund VI by WD?
Fund VI's investments included industrial properties, hotel-to-multifamily conversions, build-for-rent investments, and distressed office transactions.
How much capital was raised by Walker & Dunlop for Fund VI?
Walker & Dunlop raised $79.3 million for Fund VI.
What is the total capitalization of the investments from Fund VI?
The total capitalization for the eight investments from Fund VI is $259 million.
How has Walker & Dunlop performed since its inception?
Since its founding in 2006, Walker & Dunlop has invested in or advised on more than $14.8 billion in real estate.