Houston-based Hines has raised $750M for a new open-ended fund dedicated to buying commercial real estate in the U.S.

The fund, known as Hines U.S. Property Partners, will initially focus on multifamily, industrial, office, mixed-use and other property types, the firm said in a press release.

An initial report from Bloomberg noted that multifamily and industrial were of particular interest to Hines. Multifamily offers growth in markets with favorable demographic trends, while industrial real estate faces significant tailwinds due to increased e-commerce penetration and the scarcity of land near large cities.

The new fund’s first purchase is expected to be a multifamily property in Austin, Texas, for more than $100M, Hines Senior Managing Director Adriana de Alcantara told Bloomberg. Other areas of interest include niche sectors like the life sciences, data centers and self-storage, which have all performed strongly during the coronavirus pandemic.

Including a $100M commitment from Hines, the open-ended investment vehicle has over $1.2B in immediate investment capacity, according to the firm.

Hines Chief Investment Officer Alfonso Munk told Bloomberg that the fund aims to collect about $1B each year in fresh capital. Munk also said the fund will supplement equity bets with leverage of about 40% to deliver core-plus returns of 9% to 11% after fees.

Hines is looking at opportunities in cities like Seattle, Atlanta, Denver, Los Angeles and Dallas, according to Munk. Its newest fund was backed by public pensions, insurance companies, family offices and nonprofits.

Munk noted that within residential real estate, Hines is also exploring bets on student housing and senior housing. Hines manages its own properties, which helps generate additional returns, Munk added.

UPDATE, AUG. 9, 11:30 A.M. CT: This story has been updated to reflect details in Hines' press release about the fund.