Real estate private equity firm Rockpoint Group and Resicap, an owner and operator of single-family rental homes headquartered in Atlanta, are expanding their single-family rental (SFR) strategy.
In October 2020, Resicap and Rockpoint formed a joint venture targeting the acquisition of $1 billion of single-family homes, which has acquired or is under contract on over 2,000 properties to date.
”Expanding on the success of this partnership, Rockpoint and Resicap have committed to a series of follow-on joint ventures collectively targeting an additional $2.5 billion of SFR acquisitions,” said Rockpoint in a press release.
The ventures expect to continue acquiring, renovating, and leasing homes in undersupplied housing markets, including Atlanta, Birmingham, Huntsville, Charlotte, Jacksonville, Tampa,Orlando, Miami, Indianapolis, Dallas, Houston and Oklahoma City.
In addition, Rockpoint and Resibuilt Homes, a subsidiary of Resicap, are expanding their initial $1 billion venture which first launched in December 2020, with a follow-on $2 billion venture focusing on the build-to-rent (BTR) strategy.
The BTR venture is currently developing over 2,000 homes in the Southeast, with a pipeline of future projects in Atlanta, Charlotte, Raleigh, Greenville, Nashville, Orlando, Tampa, and Jacksonville.
Resibuilt will perform both the subdivision development and new home construction for the venture, and with a current pipeline slated to add over 9,000 new homes, will become one of the region’s largest homebuilders. This venture is expected to meaningfully expand the opportunity for residents seeking quality rental homes in undersupplied communities.
“We truly value Rockpoint’s partnership, investment discipline and strategic vision at a time when demand for single-family rentals has never been greater,” said Lance Popp, Resicap co-CEO.
“The expansion of our partnership with Resicap and Resibuilt underscores our belief that single-family rental housing is an attractive core real estate holding for institutional investors, particularly given the strong supply/demand dynamics and favorable secular trends in residential housing today,” explained Jason Chiverton, Senior Managing Director at Rockpoint Group.
He added, “We are thrilled to work alongside the Resicap team to create quality homes in these demand-driven markets.”
“We have spent years building what we think is one of the most talented management teams in the SFR space,” said Andy Capps, Resicap co-CEO, “and our focus is now shifting to building partnerships with local vendors who share our vision and who are dedicated to delivering best-in-class rental homes.”