Goodwin’s Real Estate Private Funds team advised Ares Management Corporation (NYSE: ARES) on the formation of Ares U.S. Real Estate Opportunity Fund IV, L.P. (“AREOF IV” or the “Fund”). Ares raised over $3.3 billion to invest in opportunistic real estate in the U.S. through equity commitments to the Fund and related transaction vehicles. This marks the largest Ares Real Estate closed-end fundraise to date and is a significant increase from the $2.2 billion of commitments raised for the predecessor fund and related transaction vehicles.
The Fund, in combination with capital raised for the most recent vintage of Ares’ European opportunistic real estate strategy, positions Ares with $5.5 billion of aggregate opportunistic capital aimed to capitalize on attractive new investment opportunities in the U.S. and Europe. Consistent with its predecessors, AREOF IV focuses on acquiring real estate assets out of distressed ownership structures and special situations, enhancing and repositioning undermanaged assets, and pursuing risk-mitigated development and redevelopment in desirable submarkets.
Ares Management Corporation is a leading global alternative investment manager offering clients complementary primary and secondary investment solutions across the credit, real estate, private equity and infrastructure asset classes. As of June 30, 2024, Ares Management Corporation's global platform had over $447 billion of assets under management with more than 2,950 employees operating across North America, Europe, Asia Pacific and the Middle East.
The Goodwin team was led by Sean Gruver, Charmaine Tam, Vineeta Nangia, Brooke Lang, Brittany Morgan, Elisabeth Teixeira de Mattos, Lucy Dempsey, Ashley Kang, Brian Yuen, Kara Kitchell, Spencer Teplitz, Chase Perlman, Kelly Ferree, Mindy Liu and Andrew Kliewer and included David Patton (Tax), Bibek Pandey (ERISA), Matthew Stayman, Owen Remeika and Laura Wood (Fund Finance), and Gregory Larkin and Daniel Ji (Regulatory).
For additional details on the closing, please read the press release.