Starlight Investments has finally disclosed the Public Sector Pension Investment Board (PSP Investments) and the Alberta Investment Management Corporation (AIMCo), on behalf of certain of its clients, as the institutional partners in connection with its previously announced partnership.
On July 27, 2107, Starlight Investments announced the formation of a partnership with two unnamed “globally recognized institutional investors” to identify and acquire US $1.3 billion of recently constructed, class “A”, garden style, multi-family properties in Atlanta, Georgia, Austin and Dallas, Texas, Denver, Colorado, Orlando and Tampa, Florida and Phoenix, Arizona.
The partnership will target the acquisition of recently constructed communities in the suburban markets of select major U.S. cities constructed in 2012 or later. Specifically, the partnership will target submarkets within high-growth cities that demonstrate superior rental income growth potential due to positive multi-family dynamics including compelling population, economic and employment growth.
The partnership has commenced its acquisition program with the purchase of Parkhouse Apartment Homes, a 465-unit, Class “A”, garden style, multi-family property constructed in 2017, and located in Denver, Colorado.
“We are entering into this newly formed Partnership with great excitement and expectations,” said Neil Cunningham, Senior Vice President, Global Head of Real Estate and Natural Resources at PSP Investments. “We are looking forward to working closely with Starlight and AIMCo to assemble a large, professionally managed, institutional quality portfolio of multi-family properties in select U.S. markets.”
“AIMCo is pleased to enter the Partnership and excited about the opportunity to expand our multi-family footprint to new markets,” said Micheal Dal Bello, Senior VP, Real Estate of AIMCo. “The Partnership capitalizes on the synergies of our respective investment programs and creates a long-term platform to generate the returns required of our clients and stakeholders.”
“We are extremely pleased to acquire the first in a number of multi-family properties with two prominent global institutions and continue the expansion of the Starlight U.S. multi-family platform,” added Daniel Drimmer, CEO and President of Starlight Investments. “We look forward to building a premium multi-family portfolio in conjunction with PSP Investments and AIMCo.”
Parkhouse is ideally located in the prosperous northern corridor of Denver. The downtown is approximately 25 minutes to the south, providing easy access to major employment centres and entertainment. Within walking distance to Parkhouse is access to major retail hubs and local hospitals. Parkhouse is a luxury complex consisting of 20 three-storey garden style apartment buildings, offering top of the market amenities including two clubhouses with fitness and business centres, a games room and a bike and ski repair shop. Outdoor amenities include two resort style swimming pools, outdoor kitchens, neighborhood parks and walking trails.
Starlight Investments is a Toronto based, privately held, full service, real estate investment and asset management company with over 120 professionals. Starlight currently manages $7.5 billion of multi-family and commercial properties through funds, JV’s and club deals. Starlight’s portfolio consists of approximately 35,000 multi-family units, of which 34,000 are across Canada and 11,000 across the U.S., along with over 4.6 million square feet of commercial properties throughout Canada.
Founded in 2011 by Daniel Drimmer, founder of TransGlobe Apartment REIT, Starlight Investments completed $2.3 billion privatization of TransGlobe in June 2012 with the support of a consortium consisting of PSP Investments.
photo credit: Parkhouse