Polish developer-investor Echo Investment has announced the launch of a new business line focused on rental apartments with an undisclosed partner. The new unit starts with four development projects.
Echo Investment said that it will own a 30% share in the new R4R unit, while its business partner, described as a fund managed by one of the world’s premier investment managers, would retain control with a 70% share.
The new platform, which will operate as a development platform for residential real estate for rent in Poland, will be seeded with four development projects encompassing 1,200 apartments in Warsaw, Lódz and Wroclaw. Another 1,700 apartments will be ready for construction in the next 12 months.
Echo Investment will provide planning, design and developments services to the new unit.
'Resi4Rent will be the largest apartment rental platform in Poland. By entering this segment, Echo Investment will have the opportunity to significantly increase the scale of its residential business. Furthermore, Resi4Rent will enrich our mixed-use and destination development schemes such as Warsaw Brewery by promoting an urban lifestyle and creating communities around it,' said Nicklas Lindberg, CEO of Echo Investment.
Piotr Gromniak, vice-president of Echo Investment, added: 'We enter this new and interesting but under-supplied segment to respond to the needs of urban migration and with a great sense of purpose. The institutional residential for rent sector will be a stable and growing business with attractive yields.'
