Marathon Ventures Fund Exceeds Fundraising Goal, Securing $240 Million

Marathon Ventures, an Israeli real estate fund, has successfully closed its second fund at approximately 900 million shekels (about $240 million), significantly surpassing its initial fundraising target of 600 million shekels. This amount is more than double the 425 million shekels raised for its first fund.

The second fund's success is attributed to strong performance from the first fund and unique opportunities in the current real estate market, according to the fund. Key investors in the new fund include Clal Insurance and Finance, Migdal Insurance and Finance, Harel Insurance and Finance, the Teachers and Kindergarten Teachers Pension Fund, and Bank Jerusalem.

Marathon Ventures, founded in 2021 by chairman Moti Kirschenbaum and managing partners Yuval Geiger and Itamar Giron, specializes in identifying, managing, and improving complex real estate assets in Israel. Their strategy involves acquiring properties with unrealized potential due to planning, legal, environmental, or business challenges, and then advancing these projects before selling them to developers.

Yuval Geiger noted that the current market, marked by rising interest rates, the ongoing war, and judicial reforms, has created a situation with many "weak hands" among real estate developers, presenting opportunities to acquire projects at significantly lower prices. Geiger anticipates that the majority of the second fund's capital will be directed towards residential projects.

Dor Ohana has officially joined the fund as a partner, a move intended to strengthen the management team as the fund expands its operations. Moti Kirschenbaum expressed confidence in the fund's team and strategy, highlighting the trust shown by both returning and new investors as a testament to the success of their enhancement model.