Apollo Closes $758M Fund
- Jul 07, 2008
Apollo Real Estate Advisors, an international real estate investor and fund manager, has closed a $758 million value-added fund, Apollo Value Enhancement Fund VII L.P. Since 1993, Apollo’s Value Enhancement Funds have focused on investing in existing, income-producing U.S. assets which present chances to increase value. Value Enhancement Fund I through VI have invested in more than 140 transactions with an aggregate value of $5.9 billion. The newly closed fund will continue the firm’s value-added strategy of investing in real estate property mainly located in major markets across the United States. One of the fund investments includes 500 1st Street N.W. in Washington D.C., a nine-story 129,000-square-foot office building. In addition, the property has two underground parking levels. The building is located on 1st Street N.W. and E Street N.W., just two blocks from Union Station and four blocks from the U.S. Capitol. Apollo intends approximately $7 million in building improvements in coordination with the lease renewal of the U.S. General Services Administration, the property’s current tenant. Another property that was purchased through the Apollo Value Enhancement Fund VII was the Hilton Dallas Lincoln Centre. The 500-room, 20-story glass-curtained hotel structure is situated prominently within Lincoln Centre, a premier Class A complex in North Dallas encompassing 1.6 million square feet. Apollo plans on performing some $30 million in renovations, including improving guest rooms and bathrooms, constructing 13,000 square feet of additional ballroom, meeting and pre-function space and remodeling and rebranding the hotel’s existing food and beverage outlets.