Hodes Weill Advised Mill Creek on $1.2 Billion of Equity Capital Raised
Hodes Weill Securities acted as financial advisor and global placement agent for Mill Creek in connection with the formation and capitalization of the four investment vehicles.
FOR IMMEDIATE RELEASE
Mill Creek Grows Investment Management Platform With Formation of Four New Investment Vehicles Totaling $1.2 Billion of Equity Spanning Multifamily and Single-Family Rental Development and a Value-Add Fund
Capital to be Invested Over Next Two to Three Years
BOCA RATON, Fla. – February 16, 2023 – Mill Creek Residential, a vertically-integrated industry leader in the investment, acquisition, development, construction and management of premier rental housing across the U.S., announces today the formation of four new investment vehicles to invest in the US residential rental sector. These vehicles include two separately managed accounts to develop single-family rental communities, an investment partnership to develop multifamily communities, and Mill Creek’s first commingled fund to continue Mill Creek’s value-add acquisitions strategy.
The two separate managed accounts focused on single-family rental development represent newly-formed investment programs – one with PCCP, LLC, a US-based commercial real estate investment manager with more than $20 billion of AUM, and the second with a large global financial institution.
The investment partnership focused on multifamily development represents a follow-on commitment from QuadReal Property Group, a Canadian-based global real estate investment firm with more than CAD $70 billion of AUM. The Mill Creek Multifamily Value-Add Fund includes both existing and new clients of Mill Creek.
The three development vehicles have substantial identified pipelines which Mill Creek expects to execute on over the next 18 to 36 months, including several communities expected to commence construction over the next six months. In addition, Mill Creek anticipates that the Value-Add Fund will capitalize on an increasingly dynamic acquisitions environment in 2023.
“We are thrilled to form three new partnerships to invest in the highly attractive single-family rental space and to continue our value-add acquisitions strategy. We are equally appreciative of the continued support from QuadReal to continue to develop best-in-class multifamily communities across the U.S.,” said William C. MacDonald, chairman, chief executive officer, and president of Mill Creek. “These investment programs, with some of the most highly regarded institutions, are a testament to the investment management platform we have built over the last several years, and while the current environment is not without its challenges, we believe our cycle-tested team is uniquely positioned to execute on behalf of our partners to build and grow world-class portfolios of residential communities.”
Hodes Weill Securities acted as financial advisor and global placement agent for Mill Creek in connection with the formation and capitalization of the four investment vehicles.
About Mill Creek Residential
Mill Creek Residential Trust LLC is a national rental housing company and has raised over $16.5 billion in capital since 2011 and has approximately $10 billion in AUM. It has a development pipeline valued at $18.6 billion. The national residential rental investment company, headquartered in Boca Raton, Florida proactively acquires, develops, constructs and operates residential communities through its seasoned team of real estate professionals in 30 markets across the United States. As of September 30, 2022, the company’s portfolio is comprised of 125 communities representing over 33,875 homes that are operating and/or under construction. For more information, please visit www.MillCreekPlaces.com.
About PCCP
PCCP, LLC is a real estate finance and investment management firm focused on commercial real estate debt and equity investments. PCCP has $21.0 billion in assets under management on behalf of institutional investors. With offices in New York, San Francisco, Atlanta, and Los Angeles, PCCP has a 24-year track record of providing real estate owners and investors with a broad range of funding options to meet capital requirements. PCCP underwrites the entire capital stack to exploit inefficiencies in the market and provide investors with attractive risk-adjusted returns. Since its inception in 1998, PCCP has managed, raised or invested over $36.8 billion of capital through a series of investment vehicles including private equity funds, separate accounts and joint ventures. PCCP continues to seek investment opportunities with experienced operators seeking fast and reliable capital. Learn more about PCCP at www.pccpllc.com.
About Hodes Weill Securities
Hodes Weill & Associates is a leading, global capital advisory firm focused on real estate, infrastructure and other real assets. The firm has offices in New York, Denver, Hong Kong, London and Amsterdam. Founded in 2009, Hodes Weill provides institutional capital raising for funds, transactions, co-investments and separate accounts; M&A, strategic and restructuring advisory services; and fairness and valuation analyses. Clients include investment and fund managers, institutional investors, lenders, and public and private owners of assets and portfolio companies. For more information, please contact or visit www.hodesweill.com.
*All U.S. regulated capital market and securities advisory services are provided by Hodes Weill Securities, LLC, a registered broker-dealer with the SEC, and a member of FINRA and SIPC, and internationally, by non-U.S. Hodes Weill affiliates.
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