Avanath Capital Management and UBS Asset Management recapitalize $248m affordable housing portfolio

Avanath Capital Management has completed a recapitalization of a portfolio of affordable multifamily assets formerly held by Avanath Affordable Housing I, Avanath’s inaugural fund (the Elevate Portfolio).

The Elevate Portfolio consists of 2,085 units across 14 multifamily communities in high-barrier-to-entry markets nationwide. It was sold to a group of institutional investors advised by UBS Asset Management, Real Estate & Private Markets’s Multi-Managers business.

Avanath will manage the assets and continue to provide high-quality housing options to an underserved segment of the population. The transaction represents a highly attractive entry point for UBS into the affordable housing segment.

“The Elevate Portfolio provides REPM MM rare access to a fully stabilized and diversified portfolio of affordable housing assets offering our clients strong risk-adjusted total returns with highly durable cash flow,” said David Kozlicki, executive director and