Fundraising activity dropped sharply during first quarter 2013 compared with the high volume posted during fourth quarter 2012. During the first three months of the year, 21 real estate funds announced final closings, with an aggregate equity haul of $7.6 billion, according to Institutional Real Estate FundTracker.

Although the number of funds is on average compared with 2011 and 2012, the amount raised has not been this low since fourth quarter 2010, when fundraising activity was only $3.5 billion.

In addition, the first quarter dollar volume is down substantially from the fourth quarter total of $24.8 billion, which was boosted by the closing of Blackstone Group’s $13.3 billion fund Blackstone Real Estate Partners VII. The fundraising total for the first three months of the year also pales in comparison to previous years. Inv