The Milestone Group (“Milestone”), a leading private equity real estate investment firm, announces the final close of its sixth discretionary equity vehicle, Milestone Real Estate Investors VI, LP (“Fund VI”), at its hard cap of $1.1 billion. The fund was oversubscribed, reflecting strong demand for Milestone’s value-add investment strategies and historic performance despite a challenging fundraising environment.
“We are grateful for the continued confidence and support of our investors, particularly given the dislocation in today’s capital markets,” said Chris Bartlett, Chief Operating Officer of Milestone. “The strong demand for Fund VI underscores Milestone’s 20-year track record of delivering consistent, strong performance across market cycles. Fund VI is well-positioned to capitalize on what we view as an exceptional opportunity to acquire high-quality multifamily assets at attractive pricing, while continuing to execute our disciplined, risk-aware investment strategy.”
Fund VI continues Milestone’s flagship value-add investment strategy of acquiring and repositioning middle-market suburban multifamily communities in high-growth U.S. markets across the Sunbelt and Mid-Atlantic regions. Building on the firm’s cycle-tested approach, Fund VI will target well-located, undercapitalized, and undermanaged properties that offer embedded growth opportunities.
“At Milestone, we take a solutions-oriented approach to transactions, with the objective of creating outcomes that deliver value for all stakeholders while positioning our funds for long-term success,” said Jeffrey Goldberg, Co-Managing Partner of Milestone. “We collaborate closely with sellers to address their unique circumstances, leveraging creative structures such as recapitalizations, debt assumptions, entity purchases, portfolio acquisitions, and rescue capital to facilitate refinancings and optimize capital structures.”
Since its inception, Milestone has invested over $9 billion across more than 90,000 multifamily units, delivering top quartile returns in all prior discretionary funds based on the most recently available Cambridge Private Real Estate Index and Benchmarks Statistics Report.
Fund VI has already closed on several investments, including multifamily communities in South Florida, Northern Virginia, and Denver, each acquired at a meaningful discount to replacement cost and supported by strong market fundamentals.
Milestone’s investor base for Fund VI includes leading global institutions such as public and private pension funds, insurance companies, foundations, a sovereign wealth fund, family offices and ultra-high net worth investors.
