It’s an exciting time for UW–Madison’s Real Estate Private Equity (REPE) Track. With Fund II nearing full deployment and the capital raise for Fund III underway, students continue to gain hands-on experience investing real capital in real estate opportunities across the country.
Last year’s class of 27 graduate students brought total invested capital to approximately $5.5 million, including two new investments in Los Angeles and the Washington, D.C., metro area. Fund II has approximately $1 million remaining to invest, while Fund III has already raised more than $1 million toward an anticipated $5 million close by the end of 2026.
At the same time, the program is welcoming another class of 27 MBA and MS in Real Estate students. This year’s cohort reflects the REPE Track’s national and international reach, with students coming from California, Florida, New York, Texas, the Midwest and Europe.
Students will be divided into seven teams covering geographic regions across the United States. Within each team, students take on roles that mirror those of a real estate investment platform, including Team Leader, Asset Manager, Acquisitions, and Strategy/Research. By evaluating and executing real-world transactions with actual invested capital, students gain experience directly applicable to careers in private equity and real estate investment.
The student-led REPE Track is supported by a highly experienced investment committee and guided by REPE Track Director Paul Melkus.
Capital for WREAA Funds is raised primarily from Wisconsin real estate alumni and friends of the University. The funds are structured to pursue competitive market returns while advancing the Wisconsin Real Estate Program’s longstanding commitment to experiential learning.
Performance and Investment Highlights
Fund II’s portfolio currently projects an 11.2% levered IRR and a 1.5x equity multiple, both net of sponsor fees. These metrics reflect an investment approach centered on disciplined underwriting, conservative leverage and diversification across markets and property types.
Since inception, WREAA Funds have invested across nine states, targeting multifamily, senior housing, industrial and other asset types consistent with a core-plus and value-add strategy. Investments are evaluated for their potential to deliver attractive risk-adjusted returns while benefiting from market resilience, demographic trends and long-term demand.
Investment Strategy and Criteria
WREAA Funds generally underwrite investments to a 12–18% levered IRR, net of fees, with a minimum 1.5x equity multiple. Investments typically range from $250,000 to $700,000 per transaction and represent approximately 5–15% of total project equity.
Student teams place a strong emphasis on sponsor alignment, operational capabilities and transparency, evaluating each joint venture partner’s track record, financial strength and co-investment commitment. WREAA Funds generally avoid projects with entitlement risk, focusing instead on stabilized or transitional assets with clearly defined value-creation opportunities.
A Living Classroom for Real Estate Private Equity
Beyond investment performance, the REPE Track serves as a living classroom, connecting academic theory with the realities of real estate investing. Students work directly with deal sponsors, lenders, attorneys and industry professionals, gaining firsthand experience in sourcing, underwriting, due diligence, asset management and investment committee presentations.
“This fund has provided students the opportunity to see all the ways their coursework gets utilized by investing real money in real assets and how the entire private equity ecosystem works through an action-learning program,” said Paul Melkus. “Our goal is to equip students with the necessary skills to operate at a high level in their first postgraduate roles and throughout their careers. Our investor group receives high-quality reporting, a fiduciary approach, risk management and strong asset management.”
Seeking Investment Opportunities
As Fund II moves toward full deployment and Fund III continues its capital raise, WREAA Funds are actively seeking core-plus and value-add equity opportunities nationwide, particularly in multifamily, industrial and senior housing.
Sponsors interested in submitting investment opportunities may contact wsbpe.dealflow@wsb.wisc.edu.
Those interested in presenting investment opportunities or learning more about investing in WREAA Fund III are encouraged to contact Paul Melkus, who can connect them with the appropriate members of the WREAA Funds team.
About WREAA Funds
WREAA Funds are part of the Wisconsin School of Business Real Estate Private Equity (REPE) Track, a graduate-level applied investment program supported by the Wisconsin Real Estate Alumni Association (WREAA). Through alumni-backed capital, professional mentorship and real-world investment experience, students gain direct exposure to private equity real estate decision-making while the funds pursue competitive market returns.