A JPMorgan Asset Management-backed investment group has acquired a massive portfolio of single-family rentals across metro Atlanta, the Atlanta Business Chronicle reported.
The 709-home deal comes with a $176 million credit facility from New York-based Brookfield Asset Management to support the acquisition. That’s $248,000 per home.
The portfolio includes seven rental communities located in six growing Atlanta suburbs: McDonough, Loganville, Cartersville, Dallas, Hoschton and Jefferson.
The homes feature a mix of three-, four- and five-bedroom layouts, catering to renters seeking more space amid rising homeownership costs.
Walker & Dunlop’s New York capital markets team secured the loan and cited Atlanta’s strong job market and population growth as factors driving demand for suburban rental housing.
It aligns with a broader strategy among institutional investors to expand their presence in the built-to-rent sector, especially across the relatively low-density Sun Belt. With home prices continuing to rise, companies are increasing their stakes in single-family rentals to meet the demand from would-be buyers priced out of the market.
The deal follows another JPMorgan-backed venture, with Georgia Capital and homebuilder Paran Homes, which is developing built-to-rent communities across the Southeast. At least one of those projects is already underway in the Atlanta suburbs.
Metro Atlanta has emerged as a key market for institutional landlords, who see long-term potential in the region’s growing population and affordability compared to other Sun Belt cities.
Investors are betting demand for professionally managed rental communities will continue to rise as millennials and young families are priced out of homeownership.
— Judah Duke
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