Galvanize has announced the final close of its Galvanize Real Estate Fund I, raising $370 million from institutional investors including pension funds, foundations, banks, RIAs and family offices.
The fund will invest in undercapitalised commercial buildings in high-growth US markets, aiming to increase net operating income through decarbonisation measures such as on-site renewable energy, energy efficiency retrofits and electrification.
“GRE’s strategy demonstrates a different role for sustainability, one that places it at the centre of profit generation and product differentiation,” said Katie Hall, Co-Chair and CEO of Galvanize. “In an environment where the combined impact of rising electricity prices and market volatility is accelerating, there is a large and ongoing opportunity for the team to leverage decarbonisation as a driver of value creation.”
To date, the fund has invested in 15 buildings across 11 US cities, covering 2.4 million square feet.
“We are honoured by the confidence such a diverse set of investors has placed in the Galvanize Real Estate team,” said Joseph Sumberg, Managing Partner and Head of Galvanize Real Estate. “As the cost, reliability and resilience of energy becomes increasingly salient for commercial real estate owners and tenants, I believe GRE’s profitable decarbonisation strategy is well positioned to continue generating long-term value across our growing portfolio.”
