LOS ANGELES-Los Angeles-based real estate acquisition and development firm Regent Properties has held the first close of its Regent Office Fund II with $60 million in capital commitments. The fund targets undervalued office product on the West Coast and Texas. The first closing comes only two weeks before the fund closes its first acquisition.

“We think there are select categories of office assets in the Western United States that are mispriced today,” Eric Fleiss, Regent Properties president, tells GlobeSt.com. “This fund is really targeted around purchasing them.” Fleiss could not offer details about fund raising or strategy.

Regent Properties expects the fund to gross a return in the mid-teens with $400 to $500 million in office product acquisitions. The fund has a full year remaining to raise capital, and expects to raise $200 million in commitments by the final close. BlackRock, the world's largest asset manager, is among the fund's initial investors.