Belveron Partners closed a $280 million fund to invest in affordable housing across the country as the sector gains interest from larger investors.
The San Francisco-based firm exceeded its initial $225 million target for the fund. It is the sixth fund the company has closed since its inception. The fund will acquire and manage over 5,000 units of affordable and workforce housing in the next three years targeting urban and suburban areas in the Northeast, Mid-Atlantic and Southwest.
Paul Odland, founder of Belveron Partners, said the fund’s investors are institutional along with family offices.
Demand from institutional investors in affordable housing is growing, according to Odland.
“It has less volatility in the long term than a lot of other asset classes,” said Odland.
In January 2020, Belveron acquired 1,275 affordable housing units in the Bronx. The portfolio totals eight buildings that were constructed in the 1970s under the state’s Mitchell-Lama program.
And in June, Belverron partnered with Camber Property Group and the New York City Department of Housing Preservation (HPD) to acquire a portfolio of 384 rent-stabilized and market-rate homes in Brooklyn.
The company is still “a long-term believer in the five boroughs,” Odland said.
Belveron also recently acquired 1,500 market-rate apartments in metro areas of Texas.
Since its inception in 2006, Belveron has raised more than $930 million from institutional investors. It owns more than 30,000 units in the U.S.
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