Atlanta, GA, December 24, 2018 --(PR.com
)-- Olson Capital Investments has started talking to investors about a plan to raise up to 50 million for a fund to invest in American Hotel properties and opportunistic acquisitions on assets such as multifamily or office buildings.
The real estate private equity firm that’s principally based in Atlanta will formally start raising money for its Equity Fund IV in the first quarter of 2019, less than a year after wrapping up the acquisition and renovation of 125 unit “The Block” apartments which has made nearly a 300% return on equity in year one.
The latest fund will have a focus on Hotel properties as opposed to prior investments, which invested in Multifamily and Residential real estate in the United States. The speed of the new fund reflects the firm’s preference for raising small pools of capital and investing them quickly, particularly because many markets in its area of focus are mature.
Founded by the brothers Olson, Olson Capital Investments runs private equity funds and investment class assets in the U.S. The firm completed a deal to sell 83 single family rental properties in July, and refinanced the Block apartments with a new $8.255m Fannie Mae mortgage in September. The principals are currently negotiating with several property owners to acquire the first Hotel assets in their new fund.
The hyper inflated pricing of multifamily assets, which has increased their risk of default, is prompting contrarian investors to buy Hotel properties where the market is significantly cooler.www.olsoncapitalinvestments.com