The strategy targets credit and event-driven opportunities in commercial real estate located in high-growth markets across the U.S.
LOS ANGELES, Sept. 9, 2025 /PRNewswire/ -- Cottonwood Group (Cottonwood), a private equity real estate investment firm with offices in Los Angeles, Boston and New York, has exceeded its original fundraising goal for the Cottonwood Real Estate Special Situations Strategy. The strategy reached the milestone of $1.0 billion at final closing on August 31, 2025. Commitments received comprise of pooled-fund vehicles and separate accounts.
"We are extremely appreciative of the trust and support received from our U.S. and global institutional investors, allowing us to reach this important milestone during a period where private equity real estate fundraise is at a decade low," said Cottonwood founder and CEO Alexander Shing. "This underscores the confidence of our investors in Cottonwood's investment platform that allows us to remain agile during market cycles, invest across the full capital stack, and execute complex development or restructuring when required to unlock value."
The strategy primarily focuses on real estate credit and event-driven equities opportunities, while maintaining flexibility across all property types. The diversified initial portfolio at final closing includes industrial logistics warehouses, data centers, multifamily apartments, and mixed-use developments across high-growth U.S. markets. Each investment is strategically structured for downside protection, with select deals offering equity upside potential.
"By prioritizing risk mitigation and downside protection, Cottonwood has consistently optimized returns across its debt and equity investments—even in volatile market conditions," said Shing.
Cottonwood Group is a private equity real estate firm that has served as a trusted investment partner to global institutions, pension funds and family offices since 2012. With a 13-year track record, Cottonwood has invested, transacted and advised on over $7.0 billion in gross assets. Its portfolio spans a variety of asset types and geographies within the U.S. The private equity firm operates through a vertically integrated platform with in-house expertise in origination and investment execution, portfolio and risk management, asset management, development and construction, and capital markets. | cottonwoodmgmt.com
