About This Fund
Ares US Real Estate Opportunity Fund IV (AREOF IV) is an opportunistic real estate fund managed by Ares Management Corporation's Real Estate group, one of the largest real estate investment managers globally with approximately $50 billion in assets under management. Launched in 2023, the fund closed on over $3.3 billion of equity commitments in September 2024, exceeding its predecessor fund's $2.2 billion size and representing one of the largest opportunistic real estate fund closes of 2024.
The fund pursues a broad opportunistic real estate strategy in the United States, targeting distressed ownership structures, undermanaged assets, and special situations that require complex execution and deep asset management expertise. Core investment themes include office-to-residential conversions, select hospitality assets at value-entry points, and ground-lease structures across US gateway markets. Representative transactions include a preferred equity position in the conversion of 55 Broad Street in New York City from office to residential use and the acquisition of the Hyatt Regency Orlando, a large-scale hotel asset with significant repositioning potential.
AREOF IV raised capital from a globally diverse institutional investor base spanning sovereign wealth funds, public pension plans, corporate pensions, insurance companies, endowments, family offices, and private banks across the Americas, Middle East, Asia, and Europe. The fund benefits from Ares Real Estate's integrated platform, which combines equity and debt strategies, proprietary deal flow, and operational value-creation capabilities across the full US property spectrum.