There is more pain to come for investors in Goldman Sachs's biggest real-estate private-equity fund.

The fund spent $3.7bn between May 2007 and August 2008 to buy a portfolio of casinos, hotels and office buildings and has since written down those investments by $2.1bn.

Now, the Whitehall Street Global Real Estate Limited Partnership 2007 has told its investors to give it $1bn in additional capital they had committed to the fund, according to fund documents from late April that were reviewed by The Wall Street Journal.

The money is due on Monday and will be used in part to pay back $677m on a credit line. The money also will be used to finance a business plan that Whitehall says will recover 71% of investors' total equity over the fund's holding period, the documents say.

Wall Street Journal