Transcendent Electra announces $1.25b in new build-to-rent homes
Transcendent Electra, a joint venture between single-family rental (SFR) platform Transcendent Investment Management (TIM) and multifamily owner/operator Electra America, one of the top 50 largest apartment owners on the National Multifamily Housing Council list, announced that it will be adding almost 3,500 new single-family and townhomes to its portfolio through transactions topping $1.25 billion.
The acquisition is being realized from an undisclosed corporate seller. The initial phase features 1,424 new single-family and townhomes through transactions topping $504 million. The new construction communities will consist of single-family homes and townhomes located in Tampa, Fla.; Atlanta and Athens, Ga.; and Pinehurst, N.C.
Another 2,000-plus units totaling $750 million will immediately follow in Georgia, South Carolina, Florida and Texas. The entire portfolio is expected to be delivered by the end of 2022.
In 2021, Transcendent Electra announced it was under contract to purchase 1,889 new single-family homes, with $496 million in contract process and closings throughout the Sun Belt states.
The investment platform aims to acquire or develop approximately $3 billion in SFR housing over the next three years, with a focus on new-build homes in the $175,000 to $300,000 price range, where average rent will be $1,500 to $2,800 per month.
“The demand for single-family rentals is unprecedented,” said Jordan Kavana, CEO of Transcendent Electra. “Our goal is to not only help meet that demand, but to develop a housing model that embodies good health and well-being for our residents through amenities in the communities and the materials utilized in the construction of the homes.”
“Electra America is proud to continue to fuel the growth of Transcendent Electra in its path to becoming a premier owner and operator of class A rental housing throughout the Sun Belt,” said Joe Lubeck, chairman of Electra America. “Each of the communities will have extraordinary architecture along with being highly amenitized, which will provide an unparalleled experience for our residents.”
Institutional Real Estate, Inc. https://irei.com/news/transcendent-electra-announces-1-25b-new-build-rent-homes/