Mavik Capital Raising Real Estate Fund as Regional Banks Retreat

Mavik Capital Management LP is looking to raise $515 million to finance US middle-market commercial real estate, an area beset by a liquidity shortage as regional banks pull back from the space.

The firm aims to achieve an internal rate of return of 15% to 25% with the new fund, called Mavik Real Estate Special Opportunities VS2, according to a person with knowledge, who asked not to be identified discussing the matter. That rate of return would be similar to the returns achieved on an earlier fund.

The opportunistic real estate investment firm, which recently led a $75 million ...