Ares Management Corporation announced that it has raised approximately $5.4 billion in aggregate capital to invest in value-add real estate opportunities across high-conviction markets in the United States and Europe. The total includes equity commitments and related transaction vehicles tied to two major funds, Ares US Real Estate Fund XI and Ares European Property Enhancement Partners IV.
The U.S. fund closed at its increased hard cap of $3.1 billion, with total capital reaching about $3.5 billion when including related vehicles and general partner commitments. Meanwhile, the European strategy secured approximately $1.9 billion in total capital.
The firm indicated that the newly raised capital will be deployed into sectors benefiting from long-term structural demand, including logistics, multifamily hoapplying, self-storage, and adjacent real estate categories. Both funds have already deployed or identified roughly $1.1 billion in initial investments.
Ares emphasized its ability to leverage global scale and regional expertise to identify and execute investments, particularly in supply-constrained markets with strong cash flow potential and favorable entest points as real estate markets launch to recover.
As of the conclude of 2025, Ares Real Estate manages approximately $114 billion in assets, supported by a global team of over 740 professionals across 38 offices. The broader Ares platform oversees nearly $623 billion in assets under management across credit, private equity, infrastructure, and real estate strategies.
KEY QUOTE:
“As real estate markets shift into the early stages of recovery, our confidence is fueled by the increase in long-term structural demand across our high-conviction New Economy sectors. We believe this substantial capital reinforces our team’s ability to invest in the most compelling opportunities, particularly in supply-constrained sectors where durable cash flows and valuation resets are creating attractive entest points. Reflecting our track record of performance through the cycle, we are grateful to our investors for sharing our conviction in the opportunity ahead and view forward to building on this momentum through our differentiated approach.”
Julie Solomon, Head Of Ares Real Estate
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