Värde Partners is investing $250m (€206m) in US residential projects in three separate deals.
The global alternative investment firm said it has agreed a $100m land bank facility with homebuilder Dream Finders Homes (DFH) to buy land in Florida and Colorado to be developed into residential lots by DFH.
In a separate deal, Värde Partners has bought Verde River, a resort lifestyle master-planned community (MPC) in Scottsdale, in an agreement with Shea Homes. Shea Homes will continue developing and building out the project which will include 1,210 homes and is already well established with over 600 homes sold.
The third deal is the acquisition of Sunfield, a late-stage MPC based in Austin, Texas, and formation of a joint venture with IHP Capital Partners to manage the project.
In total, Värde said it has provided more than $250m of capital to purchase and fund the development of the projects across the three transactions.
Brian Schmidt, partner at Värde Partners, said: “The US housing market represents a significant investment opportunity for Värde, with compelling supply-demand dynamics driven by low-interest rates, demographic trends and secular shifts accelerated by Covid-19.
“These deals demonstrate the speed, scale and flexibility with which our platform can invest across the capital structure to provide appropriate financing solutions while traditional lenders continue to retrench.”
Brendan Bosman, managing director at Värde Partners, said: “We have deep experience in housing-related investments and we welcome the opportunity to deepen existing relationships and establish new ventures, as we continue to grow our footprint across the US residential real estate market. MPCs in particular have maintained strong levels of demand with buyers seeking attractive lifestyle communities that offer substantial open space.”
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