GTIS Partners, CalSTRS form residential JV
GTIS Partners, a real estate private equity firm headquartered in New York City, and the $215.3 billion California State Teachers’ Retirement System, have entered into a joint venture agreement to initially invest $204 million in homebuilding and residential lot development, nationwide.
The new joint venture’s approach is to deploy 75 percent of its investment in homebuilding projects, and the remainder for residential lot development, with 60 percent of the commitment designated for the eastern and southeast United States. The investment is slated for major markets characterized by strong household and job formation levels, and solid demand/supply fundamentals. GTIS Partners will invest alongside CalSTRS in all the joint venture’s deals.
“We are thrilled to partner with CalSTRS to grow our extensive investment platform in the housing sector where we share a similar view on the growth and opportunities,” said Tom Shapiro, GTIS Partners’ president and CIO.
“CalSTRS has an appreciable component of its portfolio invested in real estate, and our plan through this joint venture is to augment their holdings in U.S. housing through opportunistic construction and development in key geographies,” added Rob Vahradian, senior managing director at GTIS Partners.
GTIS Partners has approximately $4.6 billion of gross real estate assets under management. The firm pursues opportunistic real estate investments through direct equity investment and nontraditional lending activities. To date, the firm has committed capital to residential, retail, industrial, office, hotel and mixed-use projects in the United States and Brazil.
