SAN ANTONIO, TX - Embrey, a diversified real estate investment company that owns, develops, builds, acquires, and manages multifamily residential communities and commercial assets in targeted markets across the United States, announced the final closing of Embrey Horizontal Living Fund I, a $160 million discretionary equity fund to support the development of a portfolio of build-to-rent projects, an emerging and highly desirable concept in the multifamily industry.
Led by Fortune 100 institutional investors, the fund is the foundation for $500 million in build-to-rent projects that Embrey will start over the next two years. Initial developments will break ground in Texas markets in the coming months, with expansion to other Sunbelt markets to follow.
The communities are typically 200-300 units and are comprised of duplexes and townhomes with one-, two-, and three-bedroom floorplans. Units have individual yards and private garages, and the communities include amenities such as pools, clubhouses, fitness centers, dog parks, and full-service management.
"This is a major step in Embrey's goal of expanding our fund platform," said Garrett Karam, Embrey's Chief Investment Officer. "We've invested heavily to create the team and the capabilities necessary to raise and service institutional-level funds."
"The structure of the fund entrusts Embrey to manage the capital for maximum return," said Karam. "That trust is based on a nearly 50-year track record of maximizing value for our investors and operating with the highest level of integrity. We appreciate the confidence our institutional and private capital partners have shown in us, and we expect those relationships to grow within our fund platform."
Karam said Embrey sees excellent investment opportunities for the fund and has a strong development pipeline in place.
"We expect to scale our fund platform in the coming years and are excited by the growth that lies ahead," Karam said. "We have strong conviction that the multifamily sector will continue to produce opportunities for outsized returns, and we are focused on creating investment vehicles that will enable our partners to benefit from robust growth in the sector and in our company."