DENVER, Jan. 25, 2021 /PRNewswire/ -- Avanta Residential
and Iron Point Partners, LLC, a real estate private equity firm
focused on value-add and opportunistic real estate investments,
today announced they have entered into a joint venture agreement to
develop single-family, build-for-rent (BFR) neighborhoods across
the U.S. Walker & Dunlop structured the joint venture and
will continue to provide advisory and property sales services
throughout the duration of the partnership.
The agreement marks a significant milestone for Avanta
Residential, which was launched last year as an affiliate of Hunt
Companies, Inc. Hunt has a 30+ year history of developing,
building, and operating single-family rentals, having delivered
over 70,000 multifamily units representing development costs of
over $8.5 billion.
The partnership has plans to develop thousands of homes in
numerous communities over the coming years in desirable sunbelt
markets, primarily in Texas,
Florida, Georgia, North
Carolina, and Colorado. Avanta is currently working to
increase its staff to execute on its plans for growth.
"The joint venture with Iron Point represents a strategic
partnership between two long-standing and sophisticated real estate
investment companies," said Jim
Dobbie, President of Avanta Residential. "Our collective
goal is to drive superior returns for our investors by creating
premier residential rental neighborhoods within desirable
submarkets across the U.S. While the partnership is new, we
are already acting on tremendous opportunities generated through
our close collaboration."
An increasingly popular concept within the multifamily industry,
BFR properties are purpose-built housing intended to be operated as
single-family rental investments, much like traditional multifamily
properties. The single-family rental sector has been flourishing,
despite a slowing in rental rates and velocity in typical
multifamily rental developments. The BFR market makes up
about five percent of new homes built, but is rapidly growing and
will continue to do so as new entrants begin BFR operations.
Single-family rentals are distinguished by amenity-rich
neighborhoods that provide people with privacy, community, the
convenience of parking, and personal outdoor space that many
crave. Front porches, backyards, community greens, and
beautiful streets make the neighborhoods desirable rental
communities.
Heather McClure and Jeff Price led the Walker & Dunlop team in
structuring the transaction. McClure commented, "Our team was
honored to advise Avanta in this programmatic raise. Combining the
focus of our structured finance group with the strength of our
investment sales division allowed Walker & Dunlop to identify a
limited equity partner whose experience and capital structure
aligned well with Avanta's vision and strong execution
capabilities." Walker & Dunlop is active with over fifty groups
in the space, ranging from institutional clients, homebuilders,
multifamily developers, and individual investors.
About Avanta
Avanta Residential is the single-family
rental division of Hunt Companies, Inc. (Hunt). Drawing on
Hunt's extensive real estate background and more than $8.5 billion in completed developments, Avanta is
positioned to set the standard for the industry by creating
neighborhoods comprised of single-family homes for lease. For
more information, www.avantaresidential.com.
About Iron Point Partners
Iron Point Partners is a
real estate private equity firm with initial capital commitments
totaling approximately $6 billion
across funds managed by Iron Point and its affiliates. Employing a
theme-based investment approach, Iron Point and its predecessors
and affiliates have invested in more than 85 transactions across
commercial real estate property types including specialty real
estate asset classes such as data centers, self-storage, healthcare
related real estate, and affordable housing. The firm also invests
in numerous distressed and other special situation opportunities.
Prior to forming Iron Point in 2007, certain of the principals
managed RMB Realty, Inc. and its successor Oak Hill Realty, LLC,
real estate investment vehicles for the Robert M. Bass family office. For more
information, www.ironpointpartners.com.
About Walker & Dunlop
Walker & Dunlop (NYSE:
WD), headquartered in Bethesda,
Maryland, is one of the largest commercial real estate
finance companies in the United
States. The company provides a comprehensive range of
capital solutions for all commercial real estate asset classes, as
well as investment sales brokerage services to owners of
multifamily properties. Walker & Dunlop is included on the
S&P SmallCap 600 Index and was ranked as one of FORTUNE
Magazine's Fastest Growing Companies in 2014, 2017, and 2018.
Walker & Dunlop's 950+ professionals in 41 offices across the
nation have an unyielding commitment to client satisfaction.
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SOURCE Avanta Residential