American Ventures CEO plans $1b office fund for 2021

Philip Blumberg, CEO of American Ventures, is planning to launch a $1 billion fund to invest in distressed class A office properties in early 2021.

Blumberg has a track record of buying distressed commercial real estate and selling ahead of softening demand. This will be his fifth such fund raised over 30 years.

In 2006, Blumberg notably foresaw the Great Recession and by 2008, he had sold his national real estate portfolio consisting of class A office properties in the U.S. Sun Belt, with most holdings selling at record prices.

Blumberg’s investment approach is to form funds shortly before or during market troughs. Over the past 30 years, he has formed funds just prior to or amid virtually every major economic downturn, according to a statement announcing the fund launch.

“Difficulty typically begets opportunity,” said Blumberg. “That axiom holds today like never before. Come January, government regulators will begin to take a much harder view on