Archway Targets $100M Capital Raise with Second Opportunity Fund

Barchart · 04/16 13:54

Los Angeles-based investment manager Archway Capital LLC has launched the second vintage of its Opportunity Fund strategy. Archway Opportunity Fund II is targeting a $100-million capital raise through the end of 2026. The strategy will focus on a broad investment mandate, allowing the fund to capitalize on debt investments including senior and junior loans, preferred equity investments, and distressed opportunities/special situations.

The strategy will be deployed across a combination of commercial and residential real estate asset classes nationwide, with a target total return anticipated at 11% to 15% annualized. It will not utilize leverage in the portfolio.

“Commercial real estate capital markets have been in gridlock due to the high-interest rate environment causing transaction activity to be sluggish,” said Bobby Khorshidi, CEO and CIO of Archway. “We are in the camp that sentiment across the space is finally changing as transaction volume continues to increase; however, traditional funding sources will be slow to react. Having fresh capital to deploy, our Opportunity Fund II is poised to earn risk-adjusted returns on quality assets where sophisticated borrowers are unable to access credit from traditional lenders.” 

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