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TAS announces the final closing of its fourth value-add development real-estate fund, TAS Impact Development LP 4 (“TAS LP4”). Having raised a total of $123 million in equity commitments for this closed-end fund, this represents TAS’s largest fund to date.
TAS LP4 will be primarily focused on developing and repositioning multi-family and urban industrial assets to deliver long-term financial performance for investors, while generating a measurable social and environmental impact. A commitment to achieving set impact goals and on-going progress measurement is built into the fund. As a market leader in impact investing, a portion of management fees in TAS LP4 are subject to a claw back if benchmark impact targets relating to reporting, sustainability and affordability are not met.
The fund is backed by a diverse set of values-aligned investors, primarily major Canadian institutional investors as well as foundations and family offices from across Canada and Europe.
TAS expects to acquire between 4-6 properties in TAS LP4. The fund will be focused on the Greater Toronto and Hamilton Area (GTHA) and explore opportunities in Montreal, Ottawa, and Vancouver through strategic partnerships. Each project will target substantially-reduced embodied carbon, offset unavoidable embodied carbon and have net-zero operating carbon emissions. The fund has implemented portfolio-level risk-management guidelines for concentration, recourse and liquidity risks to reflect the volatility of today’s and future market conditions.
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“We are grateful to our limited partners for their trust in TAS. Our ability as a firm to achieve a successful capital raise in today’s market is a testament to the confidence investors have in our differentiated investment strategy and our impact framework,” commented Mazyar Mortazavi, President and Chief Executive Officer of TAS.
“We are closely monitoring the market to capitalize on interesting opportunities and look forward to putting our fresh capital to work in 2024,” said Khan Tran, Chief Investment Officer, TAS. “This is an exceptional opportunity to build a best-in-class portfolio of properties that will deliver strong returns, while also driving a broad range of impact objectives.”