Lucern Capital Partners announces the final closing of its flagship fund, following two multifamily acquisitions in Wilmington, North Carolina.
Lucern Capital Partners, a private equity real estate investment firm, today announced the final closing of Lucern Multifamily Value Fund I, L.P., with $23M of equity commitments from a diverse group of current and new investors. The fund makes opportunistic investments in multifamily and mixed-use assets that would benefit from strategic value-add initiatives.
David Hansel, Managing Partner, says, “The successful close of our first fund highlights investor commitment to our disciplined investment strategy, and we are grateful for the trust our clients have placed in us. As investors, we seek not only to generate outsized returns for our limited partners but also foster lasting relationships.”
The closing follows an intense period of investment activity, including two recent multifamily acquisitions in Wilmington, North Carolina. Earlier this month, Lucern acquired Camden Forest Apartments and Wilshire Landing Apartments, two student housing complexes centrally located in Wilmington that Lucern plans to convert to 200 traditional multifamily units. The fund’s capital is fully deployed with these final two acquisitions, putting investor dollars to work expediently.
Frank Forte, Managing Partner and Chief Investment Officer, comments, “We have been investing in the Carolinas since our firm’s inception and remain committed to the region. Pre-pandemic, we were extremely bullish on North Carolina, and our conviction has only grown over the last two years. Through our relationships, we believe there are still investment opportunities that meet our historically selective investment criteria. We look forward to implementing our value-add strategies to generate significant risk-adjusted yield for our investors in this inflationary environment.”
Lucern will immediately begin executing its value-add investment strategy to drive value in its new fund assets. Improvements include renovation of unit interiors, and addition and improvement of existing amenities, all aimed at bringing the asset quality in line with competing properties already achieving premium rental rates in the market.
“We have established a reputation for implementing strategic value-add initiatives on the assets we acquire that drive NOI, deliver ongoing cash flow, and generate risk-adjusted returns over the long- term. We value our deep network of trusted relationships that we leverage to develop a strategic plan for each of our assets as not all assets and geographies are the same,” comments Mark Callazzo, Managing Partner.
Lucern Capital Partners
Founded in 2016, Lucern Capital Partners is a real estate investment firm that makes opportunistic investments in multifamily and mixed-use assets along the U.S. East Coast with a focus on North and South Carolina MSAs. The firm seeks compelling risk-adjusted yields for stakeholders through value-add investment strategies. For more information on Lucern Capital Partners, contact us.