Ivanhoé Cambridge Expands Investment in Mount Auburn in Apartment Play
It will focus on millennial migration, secondary markets with low cost of living.
Ivanhoé Cambridge is expanding its relationship with Mount Auburn Multifamily by investing $150 million of preferred equity directly into the company.
Mount Auburn’s investment strategy is focused on millennial migration to secondary markets exhibiting low-cost, business friendly environments, high population growth, and low cost of living.
Mount Auburn’s primary target markets include Atlanta, Austin, Charlotte, Columbus, Dallas/Fort Worth, Denver, Houston, Indianapolis, Jacksonville, Louisville, Nashville, Orlando, Phoenix, Raleigh, Salt Lake City, San Antonio, Tampa, and the Washington, D.C., suburbs.
Ivanhoé Cambridge, which owns 45,000 residential units, has been particularly active lately in the US residential market. Last month, for example, it formed a programmatic joint venture with Walker & Dunlop Investment Partners to Tmake preferred equity investments in multifamily, student housing, and manufactured housing properties throughout the US.
Ivanhoé says it plans to continue growing its residential asset class exposure through investments with targeted partners.
Mount Auburn Welcomes Global Perspective
As part of the investment, Ivanhoé Cambridge will join the board of Mount Auburn and gain exposure to a diversified portfolio of multifamily properties.
Ivanhoé Cambridge and Mount Auburn first teamed up in June 2021, launching a programmatic joint venture aimed at providing developers with an easy path to capitalizing projects in cities where there is a shortage of housing.
“This investment from Ivanhoé Cambridge was the next natural evolution in expanding our partnership and we welcome the global perspective that Ivanhoé Cambridge will bring to our board,” Daniel Pearson, SVP Multifamily at Mount Auburn, said in prepared remarks.