PGIM Real Estate has raised $996 million in commitments for its dedicated closed-end fund Senior Housing Partners VI, the company announced Monday.
“The strength of commitment to SHP VI is a testament to the market’s increasing recognition of the compelling demographic trends that are driving demand for senior housing across the US,” Steve Blazejewski, senior portfolio manager for PGIM Real Estate’s SHP strategies, said in a statement.
Most of the commitments come from institutional investors, according to the company, which is the real estate investment business of PGIM, the $1.3 trillion global investment management businesses of Prudential Financial.
PGIM Real Estate has been investing in the senior housing sector through its SHP series since 1998. As with previous SHP funds, SHP VI will invest in independent living, assisted living and memory care communities. It will target direct acquisitions, developments, pre-sales and other opportunities.
The SHP VI capital raise, the largest to date of the SHP series of funds, exceeded its $750 million target and included $570 million from existing institutional clients in addition to $426 million from new institutional and high-net-worth investors, PGIM Real Estate said. PGIM Real Estate partnered with affiliate PGIM Investments to offer SHP VI to high-net-worth investors.
Previous PGIM Real Estate SHP funds:
- SHP I, which closed in 1998 with approximately $183 million in commitments;
- SHP II, which closed in 2001 with about $94 million in commitments;
- SHP III, which closed in 2006 with approximately $371 million in commitments;
- SHP IV, which closed in 2012 with about $569 million in commitments; and
- SHP V, which closed in 2015 with approximately $629 million in commitments.
