Heartland Capital Partners has launched a USD25 million private equity commercial real estate fund, Heartland Income Properties, which will focus on creating a value portfolio of income producing Class A and higher-end Class B commercial real estate primarily throughout the Midwest of the United States.
Markets to be considered include Des Moines, Kansas City, Omaha, Sioux Falls, Dallas, and the Twin Cities of Minneapolis and St. Paul, as well as Atlanta, and Phoenix.
Executive Chairman Tim Kopatich, an Iowa native, says that the fund’s target markets represent a tremendous opportunity for investors. “Local real estate professionals have already presented us investment properties offering significant current cash flow as well as those featuring attractive upside appreciation,” he says. “The company’s target markets are experiencing strong local economies which should lead to an active commercial rental market for years to come.”
CEO Bill Deegan adds that the Midwest is known for a highly educated and motivated work force, low corporate and individual tax rates, and a superior quality of life. He also says that the company’s portfolio will be “value driven” and that a commitment to “safety of principal” is a leading consideration driving property acquisition selection.
“We intend to diversify the portfolio over property type including office, medical, retail, distribution, and hospitality.” says Deegan.
In addition to Messrs. Kopatich and Deegan, Heartland Capital Partners includes Chief Operations Officer Gary Martin, and Chief Strategy Officer Chris Carlsen.
Units of the offering have been priced at USD10,000 per unit. A total of 2,500 units are being offered to accredited investors through a Regulation D, 506 (c) private placement.
