Bridge Investment Group Holdings closed on Bridge Multifamily Fund V with $2.26B in equity commitments, which the company says is the largest dedicated multifamily fund ever raised.

The fund, which will focus on value-add, Class-B apartment assets in growth markets, surpasses Bridge's $2B target, and bests the Salt Lake City-based company's previous multifamily fund, Bridge Multifamily Fund IV, which totaled $1.8B.

The fourth multifamily fund has seen a bit more than 30% returns to investors so far, according to a filing with the Securities and Exchange Commission.

“Market demand for well-amenitized and affordable multifamily housing is projected to outpace supply, despite high unit deliveries expected over the next two years,” Bridge co-Chief Investment Officer Colin Apple said in a statement.

Bridge Multifamily Fund V raised nearly one-third of its total from new sources, including institutional investors and high net-worth individuals, and 44% came from sources outside the United States, PERE reports.

The previous record fund in the multifamily sector was Lennar Corp.'s $2.2B Lennar Multifamily Venture, which closed in 2014, according to PERE.

Bridge had about $43.6B in assets under management as of Q3 2022.