Trump Jr.-Backed 1789 Capital Eyes $8B Sun Belt CRE Play

Sun Belt Capital Migration Reshapes CRE Investment

1789 Capital, the investment firm partnered with Donald Trump Jr., is adding fuel to the Sun Belt real estate engine with a new $1.2B fund, according to Bisnow. With a mandate to target upwards of $8B in investments across select Southern states, the fund highlights growing capital allocations chasing demographic shifts. Florida, Texas, Tennessee, Georgia, and the Carolinas have all benefited from substantial inbound migration post-pandemic, making them hotspots for residential and commercial development. The pivot complements broader market trends of investors following population flows away from traditional coastal strongholds and toward high-growth, lower-tax markets, according to CBRE’s 2026 US Investor Intentions Survey.

The Details

1789 Capital, founded by Omeed Malik and backed by Donald Trump Jr., has closed a $1.2B real estate fund. The effort partners with Florida-based Easton Street and targets residential, community, manufacturing, and digital infrastructure assets. The strategy follows broader institutional interest in digital infrastructure, with Related Digital launching with $500M in backing and targeting an $8B raise. Initial projects include a 26-story luxury condo in West Palm Beach, per Markets of TMW. The project features full-floor units and a 10,500 SF private club. Trump Jr., who joined the firm in 2024, now sits on the fund’s investment committee. Since his arrival, 1789’s AUM has surged from hundreds of millions to over $3B, with its main equity vehicle generating a reported 200% return by late June (per The New York Times).

Political Backing and Demographic Momentum

1789’s Sun Belt ambitions are unfolding against the backdrop of continued population growth in these states. Per 2025 Census Bureau data, Florida and Texas alone accounted for 37% of all net domestic migration over the prior year. CRE strategies are increasingly tracking these trends, with multifamily, industrial, and residential community assets drawing a disproportionate share of institutional capital.

The political ties—Trump Jr. as partner, with the firm’s broader network spanning media and tech—raise the profile of the investment approach. While ethical scrutiny persists, industry observers note a continued presence of deals linked to political figures and proximity to federal resources, particularly with $1.6B in federal contracts reported by CNN going to companies 1789 has ties with in Trump Sr.’s second term.

Why It Matters

The closing of this $1.2B fund signals a clear institutional bet on ongoing Sun Belt migration and the ripple effects for CRE. 1789’s partnership with Easton Street positions it to act on both residential and industrial tailwinds, as developers and investors flock to regions benefitting from work-from-anywhere trends and business-friendly governance. According to CBRE, Sun Belt cities like Dallas, Miami, and Atlanta rank among the top five for cross-border investment in 2026, with transaction volumes up more than 40% since 2023. The addition of a polarizing political figure like Trump Jr. as investment committee member brings both market attention and media scrutiny, as the intertwining of business and politics intensifies during Trump Sr.’s presidency.

Critics and watchdogs have flagged potential conflicts, but so far, The New York Times reports no evidence of 1789 seeking preferential treatment directly from the administration. Still, government contract awards to firm-affiliated companies will keep 1789’s moves squarely in the crosshairs of ethics debates and public interest journalism. On the flip side, supporters point to the firm’s strong recent performance and ability to capitalize on large-scale economic migration as key competitive advantages.

What’s Next

1789 Capital and Easton Street are likely to accelerate deal flow in major Sun Belt metros, aiming to deploy their $1.2B war chest across a pipeline anticipated to exceed $8B in aggregate value. Projects like the West Palm Beach condo offer a template for targeting both luxury and community-driven assets. With market momentum behind Sun Belt migration and questions about the political-business crossover unresolved, CRE professionals can expect this fund—and its high-profile backers—to remain a headline driver into 2027 and beyond.