New York -- Paul Hastings LLP, a leading global law firm, announced today that the firm represented Sterling Value Add Partners III, L.P. and its sponsor, The Sterling Organization, LLC, in the formation of a new private investment fund that will focus on acquiring and managing value-add retail and mixed-use real estate investments in various target markets in the United States.
The fund secured total capital commitments of $495 million (which exceeded the fundraising target of $450 million) from a diverse investor base which includes domestic endowments, private foundations, private and public pension plans, fund-of-funds and large family offices. With leverage, the fund expects to have more than $1.25 billion of buying power.
Paul Hastings also represented the fund in establishing a subscription line credit facility.
The Sterling Organization is a full service, vertically integrated real estate investment firm headquartered in Palm Beach, Florida. Paul Hastings has previously represented The Sterling Organization in the formation of various real estate investment vehicles, including Sterling Value Add Partners, L.P. and Sterling Value Add Partners II, L.P.
The Wall Street Journal recently published an article entitled “Property Investors Scrounge Through Retail Ruins for Bargains” regarding The Sterling Organization’s unique focus on retail real estate and its success in raising investor capital for such a strategy at a time when retailers and retail real estate are being challenged by e-commerce.
, the global head of Paul Hastings’ Private Investment Funds practice group, led the firm’s efforts on the formation of the fund together with Private Investment Funds associate Max Rosenberg
, aided by Tax partner David Makso
and associate Stephen Grace
, and Private Investment Funds associate Justin Samson
. Corporate partner Thomas Rao
led the work on the fund’s subscription line credit facility.
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