Paul, Weiss, Rifkind, Wharton & Garrison LLP

07/19/2021 | News release | Distributed by Public on 07/20/2021 07:49

Tricon Residential Forms New $5 Billion Single-Family Home Joint Venture

Paul, Weiss advised Tricon Residential Inc. in the formation of a joint venture with Teacher Retirement System of Texas, Pacific Life Insurance Company and a leading global investor to acquire single-family rental homes targeting the middle-market demographic in the U.S. Sun Belt.

The joint venture will have an initial equity commitment of $1.4 billion and will allow investors to increase their total commitment to $1.55 billion, including Tricon's coinvestment of $450 million, representing approximately $5 billion of purchasing power, including associated leverage. Over a three-year investment period, the joint venture, SFR JV-2, is expected to acquire more than 18,000 single-family rental homes primarily from resale channels, complementing Tricon's other investment vehicles targeting new single-family rental homes.

The Paul, Weiss team included real estate partner Salvatore Gogliormella and tax partner Scott Sontag.

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