There’s a new single-family landlord on the block — and it’s another investor.
KKR & Co. will invest real estate and private credit funds in the Miami-based platform My Community Homes, which will buy and manage rentals nationwide, Bloomberg reported.
The platform’s debut follows a flood of investment into the single-family housing market by firms looking to buy and flip or rent properties to a growing number of millennials looking for larger spaces without the mortgage payment.
A Redfin report from May showed investors had spent $77 billion on houses over the last six months, up 40% from the second and third quarters of 2020.
It’s unclear, Bloomberg said, where in the U.S. KKR will focus its acquisitions and how many homes the firm plans to scoop up. The company declined a request for comment.
Marcos Egipciaco is the platform’s chief executive officer. He previously held the top job at Sovereign Real Estate Group, which helps institutional investors expand single-family portfolios.
Before My Community Homes, the credit arm of KKR financed the single-family rental company Home Partners of America. This week, Blackstone agreed to acquire the company for $6 billion.
Home builder Lennar Corp. launched a $4 billion project — Upward America Venture — to buy single-family homes, then turn them into rentals. Centerbridge Partners and Allianz Real Estate committed $1.25 billion to the endeavor in March. And this month, Invesco Real Estate supported Mynd Management’s move to spend as much as $5 billion on 20,000 single-family homes over the next three years.
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[Bloomberg] — Suzannah Cavanaugh