Covenant Capital Group raises its largest investment vehicle to date

Nashville–based Covenant Capital Group has raised $748 million for its latest value-add real estate vehicle, Covenant Apartment Fund XI, making it the largest fund in the firm’s 22-year history.

Fund XI launched in January 2022 and significantly surpassed its target of $600 million, with commitments coming from more than 300 limited partners — 93 percent of which were repeat investors.

Covenant exclusively focuses on value-add investments in apartment communities in the Southeast, Southwest and Mid-Atlantic regions of the United States. The firm has more than $2 billion of assets under management, and manages more than 15,000 apartment units in more than 25 markets.

Fund XI will invest more than $2 billion, including debt, into approximately 40 to 50 apartment value-add multifamily communities throughout the next three years.