Penzance is getting into the private equity business.
The D.C.-based developer announced Wednesday that it closed on a $255 million real estate private equity fund, with plans to invest directly, or with partners, into residential and commercial properties across the region.
Penzance DC Real Estate Fund LP is a first for the company. Its representatives declined to disclose investors’ names but said there are commitments from endowments, foundations and family offices, among other institutional types.
The new fund aims to capitalize a portfolio ranging from $800 million to $1 billion. Thus far, the fund has committed nearly 20 percent of its equity to two projects:
The Highlands, Penzance’s 1.2 million-square-foot development under construction in Rosslyn with 780 rental units, 104 condominium units and 40,000 square feet of retail.
1680 Wisconsin Ave., a three-story, 17,398-square-foot office building in Georgetown that is fully leased to four tenants.
Penzance did not…Read the full story from the Washington Business Journal.