Fire and Police Pension Association of Colorado commits $20 million
towards total target capital raise of $300 million
DALLAS–(BUSINESS WIRE)–Velocis Fund II, L.P., a private equity real estate fund, today
announced it has a total of approximately $120 million in capital
commitments (including co-investment capital). Most recently, Fire and
Police Pension Association of Colorado (FPPA) committed $20 million in
capital. Fund II is continuing to accept capital commitments until it
reaches its targeted capital raise of $300 million.
“After carefully tracking our Fund I performance, FPPA made a meaningful
commitment to Velocis Fund II. This type of actively-managed, value-add
fund appeals to FPPA, as does our ability to deploy capital and unlock
hidden value in assets across multiple markets and multiple product
types,” said Fred Hamm, Velocis managing principal. “We are quite
pleased with our current fundraising velocity, and going forward, will
continue to hold rolling closes in anticipation of reaching our fund
target sometime in the second quarter of 2016. Our acquisition pipeline
is steady, but we’ll be very careful getting our capital out.”
When incorporating moderate leverage of 65 percent, $300 million of
equity will give Velocis Fund II approximately $850 million in
purchasing power. Fund II currently has total assets under management of
more than $182 million. This includes a traditional office building in
Scottsdale, Arizona; a two-asset office building in Sterling, Virginia;
and a specialty data center/carrier hotel in Charlotte, North Carolina.
Velocis has three years to deploy capital.
Fund II is pursuing a value-add strategy focused on traditional office,
medical office, data center and retail properties in select U.S. growth
markets. The Fund targets financially-distressed or under-managed U.S.
real estate assets in the $20 to $70 million range. The Fund has
purchased three assets and anticipates securing 20 to 25 properties over
a three-year investment period.
Velocis Fund II is led by a team of five seasoned principals who are
directly responsible for the acquisition, asset management and
disposition of assets. Joining Fred Hamm as principals in Fund II are
Mike Lewis, Jim Yoder, Paul Smith and David Seifert.
Velocis has been active in real estate investment since 2011, purchasing
19 assets located in Arizona, Colorado, Texas, Georgia, Florida, North
Carolina, and the Washington, D.C. metropolitan area.
Velocis Fund I and Velocis Fund II are active in the acquisition,
operation/management, and disposition of commercial real estate in the
United States. Velocis Advisors, LLC provides asset management
and advisory services to both investors and real estate clients through
separate accounts. Additional information about Velocis can be found at http://velocis.com/.
Leigh Goodall Mundinger, 214-373-1601