Oaktree to launch value-add real estate fund
Oaktree Capital Management is planning to launch a value-added real estate fund this year, according to its fourth quarter earnings call transcript. The firm says this new strategy will complement the success of its opportunistic real estate funds.
“One of the reasons that we’re focusing on the value-add part of the food chain is it’s very, very complementary to what we’ve been doing,” Jay Wintrob, CEO of Oaktree, said on the call. “I think it’s fair to say that the addressable market for value-add is significantly larger than the addressable market for opportunistic real estate. And that’s one of the reasons we’re enthusiastic about this area.”
Additionally, Wintrob mentioned the firm will be launching a second real estate debt fund. The first fund, which launched in May 2013, rais