GTIS Partners and Hovnanian Enterprises have closed a $200 million joint venture to develop, construct and sell homes across a diversified portfolio of for-sale homebuilding communities.
Under the joint venture, GTIS through its investment vehicles is investing $150 million of equity capital alongside Hovnanian contributing $50 million, or 25 percent, of the capital requirement for total build out costs projected at approximately $545 million representing $617 million in home value, raising the total home value of the GTIS-Hovnanian homebuilding joint venture to $8 billion. The portfolio comprises seven homebuilding communities spanning five states, with approximately 907 homes remaining at closing and is diversified by geography and product type, including active adult single-family homes, market-rate single-family homes, townhomes (including affordable units), and low-rise condominiums.
As of closing, the recapitalized communities are under construction and largely t
