Stonelake Capital Partners closed its eighth flagship opportunistic real estate fund, Stonelake Opportunity Partners VIII, with $1 billion in total equity commitments.
The fund was oversubscribed and closed at its hard cap, exceeding its $900 million target.
Stonelake VIII is the firm’s largest fund since its founding in 2007 and is approximately 34% larger than its predecessor, Stonelake Opportunity Partners VII, which closed in 2023 with $746 million in commitments.
The fund received commitments from approximately 50 institutional investors, including college endowments, hospital systems, foundations, public pension funds, and registered investment advisors.
Stonelake plans to continue pursuing real estate investments across 13 high-growth markets, with a primary focus on the industrial logistics sector.
The fund is already approximately 20% committed.
Over the past 12 months, Stonelake VIII has invested $200 million of equity across 16 logistics properties totaling 2.3 million square feet.
Those investments were completed through 15 transactions across nine high-growth markets.
Stonelake said it sees continued opportunity in logistics markets supported by population growth, job growth, and increased manufacturing activity in parts of the U.S.
The firm has now raised $2.3 billion over the past five years across three flagship opportunity funds.
Stonelake VI closed in 2021 with $555 million, followed by Stonelake VII with $746 million in 2023 and the new $1 billion Stonelake VIII.
Goodwin Procter served as fund formation counsel.
J.P. Morgan and Bank of America co-led the subscription secured credit facility.
Stonelake raised the fund directly without using a placement agent.
Stonelake owns more than $6 billion of commercial real estate across Sunbelt markets.
Its portfolio includes 37 million square feet of industrial warehouses, 8,200 multifamily units, and 1.5 million square feet of Class A office space.
KEY QUOTES:
“We are excited to announce the final close of Stonelake VIII. The support and continued partnership from our institutional investors demonstrates the confidence they have in Stonelake. The raise of Stonelake VIII at our $1 billion hard cap is a reflection on our team, the strength of our strategy, and the consistency of our investment returns. We are grateful to God and our Limited Partners for this opportunity.”
“Stonelake is well capitalized and in position to execute on the opportunities we are seeing in the market driven by population growth, job growth and a return of manufacturing to certain markets in the United States. These secular trends will benefit the logistics sector and give us great confidence in the investment thesis for Stonelake VIII.”
Kenneth E. Aboussie, Jr., Co-Founder and Managing Partner of Stonelake Capital Partners
