About This Fund
Kayne Anderson Real Estate has held a final close for its Kayne Anderson Real Estate Opportunistic Debt II fund (KAROD II) at $1.685 billion , beating a $1.5 billion target and lifting the firm’s dry-powder pool to more than $4.6 billion.
The vehicle pursues opportunistic commercial-real-estate debt: mezzanine, whole-loan and secondary-market purchases of Freddie Mac structured products, CMBS and loan portfolios. Its strategy leans on Kayne’s operating know-how and long-standing Freddie Mac “Select Sponsor” status to source off-market paper and craft borrower-friendly structures while still achieving equity-like risk-adjusted returns.
KAROD II concentrates on resilient “needs-based” property types—multifamily/student housing, seniors housing, medical office and select self-storage—primarily in U.S. secondary markets where liquidity is scarce yet fundamentals remain sound. Typical tickets average about $80 million per deal, with flexibility to scale upward when warranted, and the fund targets conservative leverage (< 65 % LTV) to protect capital through market cycles.