Invel Real Estate exceeds target with €400m+ close for Eudora Fund 2

Invel Real Estate has closed its Invel Eudora Fund 2, raising over €400 mln in capital commitments, surpassing its initial €300 mln target.

Yellow Square Florence

With additional leverage and co-investment capital, the fund will have over €1 bn to invest.

The fund will employ an opportunistic strategy, targeting investments across the capital structure that offer value-add potential, often in situations of mispricing or market disruption. Its focus will be on providing liquidity solutions, recapitalisations, and acquiring single assets, portfolios, and platforms that can be repositioned, developed, and actively managed. Geographically, the fund is concentrated on Italy and Greece, where fragmented ownership presents opportunities for building platforms. Sector-wise, it will prioritise living and hospitality, driven by limited supply, strong demand, and consolidation potential.

The fund drew a diverse group of top-tier investors globally, including asset managers, financial institutions, family offices, foundations, and provident funds.

Classified as Article 8 under SFDR, the fund integrates environmental and social considerations into its investments, aligning with Invel's commitment to responsible investing.

So far, the fund has allocated approximately 60% of its capital to 10 investments in Italy and Greece, with one already fully exited. These investments span living, hospitality, logistics, and structured financing. Notable projects include a partnership with YellowSquare to develop a hybrid hospitality platform aiming for over 5,000 beds in Southern Europe, establishing Greece's first flexible living platform targeting 2,000 units, and providing €111.2 mln in financing for the transformation of Rome's Hotel Majestic into the Baccarat Hotel Rome.

Chris Papachristophorou, managing partner & founder, Invel Real Estate, said: “We are excited by and appreciative of the strong support we have received from our investors during the fundraising process. As we look ahead, the opportunity set across our target markets remains as compelling as ever, and we are committed to continuing to generate attractive, risk-adjusted returns for our investors.”

Gabriele Magotti, partner & CIO, Invel Real Estate, added: “Southern Europe offers highly attractive risk-adjusted opportunities, characterised by structural supply-demand imbalances, market dislocations and a continuing need for flexible capital solutions. These dynamics play directly into Invel’s strengths. Since the Fund’s first close, we have built a strong and diversified portfolio across sectors with attractive supply-demand fundamentals, with predominantly off-market transactions, each structured to deliver compelling risk-adjusted returns.”