ElmTree racks up $888m for new fund

ElmTree has raised $888 million for its commingled fund, beating its $800 million target. ElmTree U.S. Net Lease Fund IV’s investors include public and private pension plans, insurance companies, endowments, and foundations. Fund IV targets investments in industrial and logistics assets across the U.S. No placement agent was used. Based in St. Louis, Missouri, ElmTree is a private equity real estate firm.

PRESS RELEASE

ST. LOUIS, Oct. 13, 2021 /PRNewswire/ — ElmTree Funds, LLC (“ElmTree”) today announced the closing of its largest commingled fund to date, ElmTree U.S. Net Lease Fund IV, L.P. (“Fund IV”). The fundraising effort for Fund IV, led by Annie Hsieh, head of Capital Formation at ElmTree, did not include a private placement agent for the marketing process, and ElmTree nevertheless exceeded Fund IV’s original hard cap of $800 million with $888 million of investor commitments. Fund IV has approximately $2.5 billion in immediate investment capacity, of which approximately $800 million has been committed and deployed. ElmTree believes the successful close of Fund IV demonstrates steadfast support from its previous investors in ElmTree managed funds as well as significant demand from new investors. The Fund’s investor base is comprised of leading public and private pension plans, insurance companies, endowments, and foundations. Fund IV targets investments in industrial and logistics assets across the United States.

Over the past year, ElmTree has deployed in excess of $4 billion and acquired and put under contract 47 properties, totaling more than 16.5 million square feet. ElmTree’s investments across the United States have targeted strategically located markets with what ElmTree believes have strong market leasing fundamentals, positive demographic trends, and superior accessibility to major transportation hubs.

“We believe the overwhelming support of our limited partners underscores ElmTree’s continued success establishing itself as what we believe is one of the premier investors in the industrial space, particularly on the build-to-suit side of the equation,” said James Koman, CEO and Founder of ElmTree.

Koman added, “The COVID-19 health pandemic has accelerated the ongoing trend of population migration from gateway cities to growing primary and secondary markets, including very attractive areas such as Phoenix and Salt Lake City. We continue to execute on our investment strategy supporting growing e-commerce sales and the need to build out industrial facilities for supply chains, which we believe will result in positive real estate fundamentals.”

About ElmTree Funds
ElmTree Funds, LLC, headquartered in St. Louis, Missouri, is a real estate private equity firm that manages capital on behalf of institutional and private investors. ElmTree’s investment philosophy focuses on making investments in the commercial real estate net lease and build-to-suit sectors with a focus on industrial properties. Since its founding in 2011, ElmTree has acquired, developed, or financed an extensive portfolio of commercial real estate. ElmTree targets investments in primary and secondary markets across the United States that are net-leased to investment grade tenants on a long-term basis.