Private-equity fund snaps up foreclosures to turn into rentals

Printer-friendly versionSend by email

A private-equity fund that generated big profits by buying up empty data centers after the technology-stock bust in 2000 is now gambling on foreclosed homes.

January 19, 2012
foreclosures, housing market, rental, rental housing

foreclosures, housing market, rental, rental housing

A private-equity fund that generated big profits by buying up empty data centers after the technology-stock bust in 2000 is now gambling on foreclosed homes, according to the Wall Street Journal.

The fund, GI Partners in Menlo Park, Calif., announced a $250 million investment in Waypoint Real Estate Group, an Oakland-based company that buys foreclosed homes at discounts and rents them out to tenants. The investment is among the largest to date by an institutional investor in the single-family rental space.

Richard Magnuson, managing director of GI Partners, said the private-equity fund could eventually expand its investment to $1 billion over the next two years if the initial round is successful.

To read more, click here.

 

Comments on: "Private-equity fund snaps up foreclosures to turn into rentals"

January 2016

This Month in Professional Builder

Features

Homebuyers on the hunt are obsessed. Here’s how your website can capitalize on their drive and focus

Overlay Init