By Paul Bergeron
December 05, 2022
View source version HERE
SVN | SFR Capital Management, Marketplace Homes find single-family rental home sector attractive.
With increasing home mortgage rates, demand for affordable single-family rental housing and build for rent (BFR) communities is rising.
Single-family rents are up +6.5% YOY as of July 2022 and new lease rents for the top 20 SFR markets are up +10.1% YOY, according to John Burns Real Estate Consulting.
These trends have compelled SVN | SFR Capital Management to enter a joint venture agreement to acquire, own and operate rental homes with Marketplace Homes, a national brokerage and property management company, the company announced last week.
“There’s a lot of competition in SFR and BFR right now, but this is a partnership that will stand out for its unique acquisition pipeline, professional property management and vertical integration,” William Dickson, president of Marketplace Homes, said in prepared remarks.
“The combined deal flow, large national footprint and local operating capabilities between us creates a JV that is scaling quickly and efficiently.”
A recent report from Northmarq reported by GlobeSt.com found that more single-family build-to-rent communities have traded in the first nine months of 2022 than in any full year from 2017-2020, while deliveries of BTR product are expected to increase by 20 percent this year. Construction starts are expected to spike by 25%.
First Communities Slated for 2023 in Texas
The first purpose-built residential communities are slated to commence development in 2023 in Texas and several other states.
The company said in a release that the joint venture will operate under the ‘Curbside Residential’ brand and integrate Marketplace Homes’ end-to-end property management, asset management, leasing, maintenance and resident service solutions.
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View source version on globest.com HERE
https://www.globest.com/2022/12/05/leading-firms-partner-on-bfr-investment-joint-venture/