Pearlmark fund holds first close

Pearlmark Real Estate has announced the initial close of its fourth high-yield investment fund, Pearlmark Mezzanine Realty Partners IV.

The initial closing for Mezz IV totaled more than $50 million in commitments with an additional $25 million in capital already committed to subsequent capital closings expected to occur over the next year. Pearlmark is targeting a fund size in excess of $300 million with a hard cap at $500 million in equity commitments.

Mezz IV will serve as the firm’s exclusive mezzanine investment vehicle, fulfilling borrower demand for mezzanine debt solutions for refinancings, recapitalizations, acquisitions and selective development projects. Consistent with the investment strategy of Pearlmark’s three previous mezzanine funds, Mezz IV is targeting a broad range of domestic commercial real estate assets through a variety of debt instruments, including mezzanine loans, the subordinate interests of A/B structured loans, preferre