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ing Street Capital Management, a leading global investment firm, has announced the final close of its European Real Estate Special Situations Fund II (ESS II), securing $950 million in capital commitments within 12 months. The fund targets undervalued real estate assets in Western Europe, focusing on high-quality properties temporarily mispriced due to market illiquidity rather than fundamentals.

    ESS II will invest across the capital structure, offering flexible and asset-specific capital solutions tailored to borrower needs. The fund's objective is to unlock value through capital structure solutions, repositioning, and hands-on asset management. A globally diversified investor base from North America, Europe, Asia, and the Middle East has committed to the fund, with 50% of commitments coming from existing investors.

    "We're seeing a clear path to recovery in European real estate, and ESS II is well-positioned to capitalize on this opportunity," said Brian Higgins, Founder and Managing Partner of King Street. "Our strategy focuses on quality and complexity, providing capital solutions for trophy assets trading below intrinsic value due to market stress."

    The closing of ESS II marks a significant milestone in the growth of King Street's real estate platform. Recent investments demonstrate the team's conviction in structurally resilient sectors with long-term secular growth.

    King Street is a global alternative investment firm founded in 1995, managing over $29 billion in assets across public and private markets. The firm combines deep fundamental research with tactical trading expertise to uncover dislocations and mispriced opportunities across asset classes and throughout the capital structure.