Hamilton Point Investments Closes $196 Million Real Estate Fund XII

Hamilton Point Investments successfully closed HPI Real Estate Fund XII LLC, raising $196 million—surpassing its initial $150 million goal—and fully investing in eight multifamily properties.

July 04, 2024

Hamilton Point Investments LLC, a private equity firm focused on real estate, has successfully closed HPI Real Estate Fund XII LLC. Initially launched in March 2023 with a goal of raising $150 million from accredited investors, the fund exceeded expectations by securing $196 million. This capital was raised through 32 independent broker-dealers and 18 registered investment advisers and has been fully invested in eight multifamily properties totaling 2,118 apartment units.

Hamilton Point Investments both owns and manages a variety of real estate assets, including multifamily properties, hotels, student housing, and manufactured housing communities. The firm raises equity from accredited investors through a series of closed-end real estate private equity funds.

“Now is a really good time to be buying,” said Matt Sharp, co-founder of Hamilton Point Investments. “Property values in certain Sunbelt markets have been hit hard due to combined impacts of overbuilding and the interest rate spikes. However, population growth is strong, and that oversupply will be absorbed by 2026.” He added, “Not much new construction will come online there over the next few years.”

“We are pleased with the equity raise in Fund XII,” said J. David Kelsey, co-founder and managing principal. “It was again well above initial targets and consistent with previous years despite alternative direct investments … struggling to attract new investors. Our longtime capital team led by Todd Williams did a really nice job.”

Since 2009, Hamilton Point Investments has acquired nearly $3.5 billion of real estate, including more than 32,000 apartment units. The company has sponsored 13 real estate funds and seven Delaware statutory trust offerings, with 14 of these offerings having gone full cycle and delivering weighted average internal rates of return exceeding 18%. The company will launch HPI Real Estate Fund XIV LLC later this month as a Reg D 506(c) offering.