44 Oak Capital, a finance firm specializing in real estate, has announced a significant expansion of its operations. The company is launching a new private equity fund to acquire multifamily and hospitality properties across the United States. This move follows the firm's origination of more than $5 billion in loans since its establishment in 2022.
Key Takeaways
- 44 Oak Capital has introduced a private equity fund for commercial real estate investments.
- The new fund will concentrate on acquiring and improving multifamily and hotel properties in select U.S. metropolitan areas.
- Since its founding in 2022, the firm has originated over $5 billion in commercial and residential loans.
- The company also launched FundingTape.com, an AI-powered platform to streamline deal flow for brokers.
New Fund Targets High-Growth Sectors
The newly launched private equity fund marks a strategic move for 44 Oak Capital, expanding its services beyond lending into direct property acquisition. The fund is designed to provide accredited investors with opportunities for returns through investments in value-add commercial real estate.
The primary focus will be on two key sectors: multifamily housing and hospitality. According to the company, the strategy involves acquiring properties in select metropolitan areas and implementing strategic improvements to enhance their value and create vibrant communities.
What is 'Value-Add' Real Estate?
Value-add real estate investing involves purchasing a property with the intent of increasing its value through improvements. This can include physical renovations, operational enhancements, or improved management practices. The goal is to raise the property's income potential and, consequently, its market value before selling.
A Foundation Built on Lending
While the private equity fund is a new venture, 44 Oak Capital has already established a significant presence in real estate finance. In just a few years, the firm has provided over $5 billion in financing for a range of real estate projects.
The company's existing services cater to both commercial and residential investors. Its offerings provide a comprehensive suite of financial products essential for the real estate market.
Core Financing Services
44 Oak Capital's lending platform includes several key products:
- Commercial Bridge Financing: Short-term loans used to purchase or reposition commercial properties.
- Commercial Permanent Financing: Long-term loans for stabilized commercial assets.
- Residential Investment Loans: Financing for projects such as fix-and-flip renovations, ground-up construction, and rental properties.
"We built 44 Oak Capital to provide reliable and competitive deals and capital to commercial and residential real estate investors," said Frank Muradov, Chief Executive Officer at 44 Oak Capital. "Our entrepreneurial approach combined with institutional execution allows us to deliver custom financing solutions that help our clients succeed in today’s dynamic real estate market."
Experienced Leadership at the Helm
The company's expansion is guided by CEO Frank Muradov, a veteran in the investment management industry. Muradov brings over 15 years of experience to his role, having been involved in originating more than $3 billion in debt and equity deals throughout his career.
His previous positions provided extensive experience in operations and investor relations. Before founding 44 Oak Capital, Muradov served as Chief Operating Officer at Park Rock Capital and as Senior Vice President in investor relations at Veloce Capital. This background in both operational execution and capital management informs the firm's current strategy.
Frank Muradov's Career Highlights
- Total Deals Originated: Over $3 billion in debt and equity.
- Industry Experience: More than 15 years.
- Previous Role (COO): Park Rock Capital.
- Previous Role (SVP): Veloce Capital.
Technology to Enhance Broker Operations
To support its growth and improve efficiency for its partners, 44 Oak Capital has also developed a new technology platform. The system, known as FundingTape.com, is described as an AI-powered, turn-key solution for real estate professionals.
This white-label platform is designed for the firm's network of mortgage brokers, commercial brokers, realtors, and lawyers. It allows them to access 44 Oak Capital's lending services directly, aiming to accelerate the processing of deals and create a more efficient workflow.
By integrating artificial intelligence, the platform seeks to streamline the often complex and time-consuming process of securing real estate financing. This investment in technology demonstrates the firm's commitment to leveraging innovation to better serve its clients and partners in a competitive market.
