NORTHBROOK, IL - Hilco Residential Partners LLC, a residential real estate investment fund chartered to purchase residential homes, mortgages and unsold developer assets directly from lenders, has been formed through a joint venture between Hilco Real Estate LLC and Real Estate Principal Solutions LLC, both Chicago area headquartered companies. The size of the investment fund was not disclosed.
Unlike other pure investment funds presently focused on acquiring distressed mortgages and unsold developer assets, Hilco Residential Partners has an infrastructure in-place that enables the fund to acquire, locally-manage and market properties on a national basis.
Three classes of distressed residential real estate assets will be acquired from lenders: (1) REO portfolios of single-family and multi-family properties, condos and senior housing, (2) closeout units in a residential development to provide immediate liquidity for the builder, and (3) non-performing notes on single-family and multi-family projects, including 90%+ completed projects, to free-up lender capital and relieve reserve requirement pressures.
"Our goal is to provide immediate balance sheet relief for lenders and eliminate their further involvement with the costs of real estate ownership," said Navin Nagrani, Vice President of Hilco Real Estate. He added, "Our nationwide property management and marketing infrastructure enables us to monetize acquired assets more quickly and with less cost, which means the fund can pay more for distressed portfolios."
"Hilco Residential Partners offers financial institutions and their advisors a quick and certain solution that focuses on maximizing the value of non-performing residential real estate assets," said Dan Amdur, principal of Real Estate Principal Solutions. "In a matter of a few days, HRP can conduct a detailed analysis and valuation, and present a meaningful purchase offer on virtually any portfolio of properties," Amdur added.
Source: Business Wire