LaSalle Investment Management has co-invested $250m (€214m) in a US multifamily portfolio acquired by Cortland last year for $1.6bn.
The investment means LaSalle will hold around 34% of the equity in the portfolio of 19 assets, which combined include close to 6,000 apartments across Atlanta, Washington DC and Northern Virginia.
Multifamily specialist fund manager Cortland acquired the portfolio in November for the Cortland Cortland Enhanced Value Fund VI. The firm will continue to operate and manage the properties.
Stuart Sziklas, portfolio manager at LaSalle, said: “This investment reflects our conviction in multifamily fundamentals and the opportunity to create value through active asset management.
“Partnering with an experienced manager like Cortland allows us to invest at scale in a high-quality portfolio and support a business plan focused on thoughtful repositioning, operational execution and long-term income growth.”
Steven DeFrancis, CEO of Cortland, said: “LaSalle’s co-investment brings a highly aligned institutional partner with deep experience across multifamily markets and value-add execution.
“Their resources, perspective and long-term orientation represent a strong endorsement of the opportunity and our ability to execute a repositioning strategy across the portfolio while continuing to deliver quality housing in markets with strong demographic and employment fundamentals.”
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