New York Life Real Estate Investors, a division of New York Life Investors, has held a final close for its first dedicated national value-add vehicle, The Madison Square Value Enhancement Fund. The fund closed with more than $300 million of committed capital and will invest in office, multifamily and industrial assets in primary and secondary markets in the United States. The fund’s investors include New York Life Insurance Company and Clal Insurance, an insurance company in Israel.
“The new fund fills an important role in our third-party offerings,” said Paul Behar, head of business development at New York Life Real Estate Investors. “While we invest in value-added transactions through a regional fund and a noncore bucket within our core open-end fund, this would mark our first dedicated national value-added vehicle. This program allows us to meet the needs of third-party investors who are seeking geographic diversification and higher returns. And it is clear to us that Clal is very well aligned with our firm and would be the right investor with which to launch our inaugural third-party value-added program.”