Closed-end real estate fundraising activity has seen an increase in 2025, following a weak 2024. Many fundraising periods that were extended last year have reached the finish line. In only the first half of 2025, 56 real estate funds held a final close, raising a total of $73 billion, according to the latest data collected by Institutional Real Estate, Inc.’s IRE.IQ database. That is more than three-quarters of the total capital raised in 2024, when 74 funds raised $88.5 billion.
In the second quarter of 2025, 26 closed-end real estate funds raised more than $22.4 billion, following a $50.6 billion fundraise by 30 real estate funds in the first quarter. Perhaps it is not surprising that the second quarter didn’t sustain the pace of fund closings in the first quarter, as the announcement of widespread tariffs on “Liberation Day” in April dampened economic expectations going forward.
But even as more real estate funds have been able to hold final closes, investor
