Front Yard Residential picks up 325 rental homes in Broward

Deal is part of $485M acquisition of property manager HavenBrook

TRD MIAMI /
Aug.August 15, 2018 05:30 PM

Some homes part of portfolio deal in Broward County

Front Yard Residential Corp. just picked up 325 single-family rental homes throughout Broward County for $25.4 million.

The deal is part of its $485 million acquisition of property manager HavenBrook and the 3,236 homes nationwide under its management, and expands Front Yard’s portfolio to 15,000 homes.

Front Yard, based in Christiansted, St. Croix, financed the deal with a $508.7 million loan from Berkadia Commercial Mortgage, which also covers some industrial properties, according to a release issued by the company.

In 2014, Front Yard (formerly known as Altisource Residential) was involved in an investigation by the New York Department of Financial Services in regard to its relationship with Ocwen Financial and an alleged scheme to secure servicing rights and foreclose on homeowners. Ultimately, Ocwen’s founder, William Erbey, was forced to resign from his position and was fined $150 million.

Front Yard, a real estate investment trust, joins a number of other REITs that are turning their focus to the multifamily and rental home markets, at a time when more Americans are steering away from home ownership and into renting.

In March, private equity firm Electra America launched a $300 million fund focused on multifamily investment. And just last month, New York-based Cerberus Capital Management bought 200 rental homes in Miami-Dade, Broward and Palm Beach counties for $47 million.

Front Yard has also previously completed deals with Amherst Holdings, which paid $25.7 million for a portfolio of single-family rental homes in Broward and Palm Beach counties in January. In 2016, Front Yard bought a portfolio of 4,262 single-family rental properties from Amherst for about $652.3 million.


Related Articles

arrow_forward_ios
From left: Stuart Elliott, Jerome Hollo, Michael Shvo, Laurent Morali and Lissette Calderon

South Florida developers riff on the shift from condos to rentals: TRD Miami Showcase & Forum

The Mile, Robert Given and Troy Ballard

Greystar looks to sell luxury rental building The Mile near Coral Gables

Grant Cardone and 10X Living at Sawgrass

Motivational speaker Grant Cardone raises $50M for multifamily fund via crowdfunding

Rent reform is propelling a new wave of New York and California investors to Miami (Credit: iStock)

Rent reform in New York, California propels new wave of multifamily investors to Miami

Clockwise from left: 401 Southwest 17th Avenue, Alfonso Jaramillo, and Andros Sarduy 

Beraja family picks up Little Havana apartments

Greg Pinkalla and ORA Flagler Village Apartments (Credit: Google Maps)

Fairfield Residential sells new Flagler Village apartments for $92M

The Wynwood property and David Edelstein

W South Beach owner gobbles up more land for Wynwood resi project

Howard Cohe of Atlantic | Pacific and downtown Miami (Credit: iStock)

Atlantic | Pacific closes $140M portion of multifamily fund

arrow_forward_ios