The joint venture with Tarragon, a mixed-use developer with a focus on for-rent and for-sale multifamily housing, adds 7,433 multifamily units to Northland's portfolio, bringing its total number of multifamily units to more than 21,000. The 83 properties are located in a dozen states, with concentrations in Florida, Connecticut, Massachusetts, North Carolina, Texas, Tennessee and Arizona.

Northland will hold a 77.5% controlling interest in the JV, called Northland Properties LLC, and Tarragon will hold a 22.5% interest. The JV also creates a new management company to provide property, asset and construction management services to the portfolio. The management entity, Northland Properties Management LLC, will be headquartered here, with satellite offices in Hartford and in Florida. Northland will direct the JV's investment decisions and oversee management of the portfolio.

Steven Rosenthal, CEO of Northland Investment Corp. says in a prepared statement that the JV "increases our access to capital, strengthens our position in several key markets, including Florida and Connecticut, and will provide significant growth and value add opportunities." He further notes that the company anticipates using this platform to further advance growth plans.

Northland has also agreed to provide Tarragon with a $50 million loan commitment. If drawn by Tarragon, the loan would be a senior secured two-year loan. The proceeds of the loan, in conjunction with additional cash provided by Tarragon, would be used to purchase certain of Tarragon's subordinated debt at a discount. Tarragon's minority interest in the JV will secure the loan.