Homebuilder Lennar Corp. says its Rialto Capital subsidiary has completed its first closing of a real estate investment fund with initial equity commitments of approximately $300 million (including $75 million committed by Lennar).
The fund's objective during its three-year investment period is to invest in distressed real estate assets and other related investments that fit within the fund's investment parameters, Lennar says.
In October, Lennar announced that it had purchased about $740 million of distressed real estate assets, in separate transactions, from three financial institutions. The assets included primarily nonperforming residential and commercial acquisition, development and construction loans and real estate owned relating to lands, lots and single- and multifamily residential communities.
SOURCE: Lennar Corp.