A US fund targeting distressed property in American cities has generated almost half of its $100m (Dh367.3m) in commitments from Gulf investors.

Tate Capital Real Estate Solutions, a US-based property firm, plans to acquire apartment buildings for a deep discount after a year that saw foreclosure proceedings started against about 3.9m homeowners in the country.

About 45% of the money that has so far been deployed by the fund originates from Gulf investors, according to Mark Desario, the chief executive of LRIM Investment Management, a private equity research firm in Dubai.

LRIM linked up with Tate early last year to find regional investors for the fund. An additional $100m is expected to be collected by June.

The National