Forum Capital Advisors Announces Successful Close of $50 Million Commercial Real Estate Debt Fund

Posted by Investor Relations on Dec 9, 2020 11:12:52 AM

December 9, 2020 – Forum Capital Advisors is pleased to announce the successful closing of the Forum Integrated Income Fund (“FIIF”), the firm’s first commercial real estate debt offering. The fund closes with $50 million in capital commitments, largely from family offices, RIAs and high net worth individuals.

The Fund’s objective is to invest across the commercial real estate (CRE) capital stack to deliver current income and capital appreciation over the long term. To achieve these objectives, FIIF starts with a capital-preservation focus and has a flexible mandate enabling it to act opportunistically during market dislocations like we experienced last March.

“Two of the primary reasons for launching the Fund a little over a year ago were our belief that we had clearly entered the latter innings of the real estate cycle, and our view that frothy asset prices meant investors were not being sufficiently compensated for taking equity risks,” said Portfolio Manager Pat Brophy. “That’s why we designed the Fund to be a conservative, all-weather vehicle that could strategically pick its spots in the capital stack, invest patiently, and be opportunistic if warranted."

“We certainly didn’t anticipate a global pandemic, but our flexible structure and unique access to both public and private markets left us very well positioned to capitalize on the volatility, distress and lack of liquidity that accompanied the market downturn in March and April. Our investment thesis has already played out on many of those early purchases. Looking forward, we expect more dislocations, especially in the private market, and increasingly rapid shifts in the commercial real estate (“CRE”) opportunity set; that should provide an attractive investment backdrop for the Fund.”

Fund Close Represents Successful Expansion of Forum’s Real Estate Offerings

FIIF is the first fund launched by Forum Capital Advisors (“FCA”), a boutique investment management firm focused on commercial real estate debt and an affiliate of Forum Investment Group (“FIG” or “Forum”), a private real estate investment firm that specializes in real estate acquisitions, development and debt investment opportunities.

FCA was launched to provide Forum investors with another avenue for accessing real estate-related income opportunities. This first fund closing is a validation of the need for alternative sources of income, stated Forum Investment Group Founder and CEO Darren Fisk.

“Looking forward we believe commercial real estate debt is an important solution to many of the problems facing investors today — low interest rates starving portfolios of necessary cash flow, complex private lending structures introducing unanticipated risk, and a general need for diversification. We are proud to continue finding new ways to address those issues,” Fisk said.


About Forum Capital Advisors

Headquartered in Denver, Colorado, Forum Capital Advisors, LLC, is an affiliate entity of Forum Investment Group, (forumre.com) a private real estate investment firm specializing in multifamily real estate acquisitions, ground-up development and debt investments across the capital stack and throughout market cycles. Forum Investment Group offers investment opportunities through its affiliate entities Forum Capital Advisors, LLC (real estate debt investments) and Forum Real Estate Group, LLC (real estate multifamily acquisitions and ground-up development). Forum Capital Advisors, LLC is a Registered Investment Advisor and manager of the firm’s private funds.

 

For more information, visit: www.forumcapadvisors.com

 

Press Contact

Teresa Hanson

303.501.8829

thanson@forumre.com

 

DISCLAIMER:

The information contained herein is only as current as of the date indicated and may be superseded by subsequent market events or for other reasons. The views and opinions expressed herein are those of the author and do not necessarily reflect the views of Forum Investment Group (“Forum”) its affiliates, Forum Real Estate Group (“FREG”), Forum Capital Advisors, LLC (“FCA”, and a Registered Investment Adviser and manager of private funds), and/or its other affiliates or its employees. This information is not intended to and does not relate specifically to any investment strategy or product that Forum offers. It is being provided merely to provide a framework to assist in the implementation of an investor’s own analysis and an investor’s own view on the topic discussed herein. Past performance is not a guarantee of future results.
 
There can be no assurance that any investment strategy will be successful. Historic market trends are not reliable indicators of actual future market behavior or future performance of any particular investment which may differ materially and should not be relied upon as such. This should not be viewed as a current or past recommendation or a solicitation of an offer to buy or sell any securities or to adopt any investment strategy.
 
The investment strategy and themes discussed herein may be unsuitable for investors depending on their specific investment objectives and financial situation.  Diversification does not eliminate the risk of experiencing investment loss.
 
This material is intended for informational purposes only and should not be construed as legal or tax advice, nor is it intended to replace the advice of a qualified attorney or tax advisor.

 

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