RRA Capital seeks $400m for third real estate debt fund

RRA Capital, a privately held direct commercial real estate bridge lender and investment firm based in Phoenix, has launched a new bridge lending vehicle, RRA Real Estate Debt Fund 3.

IREI understands RRA Capital is seeking to raise at least $400 million for the fund and is planning to hold an initial close date on April 1. The fund has received several commitments from investors.

The firm declined to comment on its fundraising activity.

RRA Real Estate Debt Fund 3 offers transitional (bridge) lending on value-add commercial real estate throughout the United States. The vehicle will acquire senior subordinate debt and provide preferred equity, and will lend against all property types. The fund is targeting a maximum loan-to-value ratio of around 75 percent for multifamily and 70 percent for other property types, and it will also write construction loans.

The previous fund in the series closed on Dec. 1, 2022, with $135 million of commitments.

UBS P