JLL arm buys $560M stake in single-family rental portfolio

Deal follows CRE giant's purchase of a stake in Roofstock earlier this year

National /
Aug.August 12, 2021 10:00 AM
JLL CEO Christian Ulbrich and JLL Income Property Trust CEO C. Allan Swaringen (JLL, iStock)

JLL CEO Christian Ulbrich and JLL Income Property Trust CEO C. Allan Swaringen (JLL, iStock)

UPDATED, 12:02 p.m., August 12: The hot market for single-family rentals is drawing increasing interest from a new player: JLL.

JLL Income Property Trust, sponsored by JLL, is acquiring a 47 percent stake in a $1.2 billion portfolio assembled and managed by Amherst Residential, according to Bloomberg News. The trust’s investment in the portfolio comes out to roughly $560 million.

The Amherst portfolio is made up of over 4,000 rental homes across the country in markets including Atlanta, Phoenix and Dallas. The homes JLL is investing in are more than 96 percent leased.

Included in the transaction is $205 million of equity. The buyer will also assume part of the debt on the properties.

It’s another big bet by JLL on the single-family rental sector; the firm bought a minority stake in rental housing investment platform Roofstock in March. The REIT arm of JLL typically invests in apartment complexes, office buildings, industrial buildings and retail property anchored by grocery stores.

The single-family rental market is booming, drawing investments from major firms. Rents are rising as surging prices on homes for sale have put them out of reach for many families.

Two months ago, investment giant Blackstone agreed to acquire Home Partners of America — owner of more than 17,000 homes — for $6 billion. A joint venture from Tricon Residential recently made plans to invest $5 billion into single-family rentals.

[Bloomberg] — Holden Walter-Warner




    This story was updated to include JLL’s purchase of a stake in Roofstock.


    Related Articles

    arrow_forward_ios
    Beanie Babies founder Ty Warner and 57 East 57th Street (Getty Images, MBandman, CC BY 2.0 - via Wikimedia Commons)
    Owner’s feud with Four Seasons leaves Midtown hotel in limbo
    Owner’s feud with Four Seasons leaves Midtown hotel in limbo
    WeWork CEO Sandeep Mathrani (Getty Images, WeWork)
    WeWork stock has taken a WeDive. Will it resurface?
    WeWork stock has taken a WeDive. Will it resurface?
    Cartier's Cyrille Vigneron and 653 Fifth Avenue (Cartier, Linkedin, Getty)
    Cartier betting on appetite for luxury with US retail expansion
    Cartier betting on appetite for luxury with US retail expansion
    Gale Brewer (Getty, Gale Brewer)
    City takes aim at landlords’ empty retail space
    City takes aim at landlords’ empty retail space
    SL Green chairman Marc Holliday and One Madison Avenue (Getty Images, SL Green Realty Corp)
    Franklin Templeton takes 347K sf at SL Green’s One Madison Avenue
    Franklin Templeton takes 347K sf at SL Green’s One Madison Avenue
    Leslie Alexander with 1117 Main Road in Riverhead (top) and 2045 Sound Avenue in Mattituck (Getty, Compass)
    Leslie Alexander lists pair of North Fork properties with development rights
    Leslie Alexander lists pair of North Fork properties with development rights
    (Photo Illustration by The Real Deal with Getty Images)
    Office occupancy stalls after Labor Day push
    Office occupancy stalls after Labor Day push
    A photo illustration of 1776 Nostrand Avenue (Getty Images, Google Maps)
    Flatbush landlord sentenced in deadly space heater fire
    Flatbush landlord sentenced in deadly space heater fire
    arrow_forward_ios

    The Deal's newsletters give you the latest scoops, fresh headlines, marketing data, and things to know within the industry.

    Loading...