JP Morgan Asset Management has teamed up with Georgia Capital to create a US build-to-rent (BTR) development company.
JP Morgan, investing on behalf of its institutional clients, will hold a 50% stake in the newly created Laseter Development Group, with Georgia Capital and its homebuilding arm, Paran Homes, owning the remaining half.
Led by founder and CEO Whit Marshall, Laseter will partner with external collaborators on its projects and offer third-party general contracting services to other build-to-rent developers.
Laseter plans to deliver single-family rental homes in high-demand Sunbelt markets across the Southeast, with its first two developments set to break ground this year in the suburbs of Atlanta, Georgia and Nashville, Tennessee, offering 165 and 126 homes, respectively.
Chad Tredway, the head of real estate Americas at JP Morgan Asset Management, said: “This initiative underscores our strategic focus on the BTR asset class and reinforces our commitment to this high-conviction sector.
“Demographic shifts and job growth in the Sunbelt are driving increased demand for single-family housing. With Millennials seeking more space and housing prices at record highs, many are turning to rentals, fueling the growth of this sector.”
Preston Meyer, portfolio manager at JP Morgan Asset Management, said: “This partnership provides an opportunity to create value for our clients, partners and local communities by building new housing solutions to meet the rapidly growing demand.”
Marshall said: ”We are big believers in the need for housing alternatives in this country. The institutional world and the production homebuilding world are very different.
“We believe that the combination of our land development and production homebuilding expertise with JP Morgan’s scale and investing perspective positions us to be at the forefront of this unique opportunity in the early stages of this new real estate sector.”
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