Greystar Launches 1st Debt Fund At $500M
The fund will focus on acquiring subordinated and securitized debt issued by Fannie Mae and Freddie Mac.
CHARLESTON, SC–Greystar Real Estate Partners has launched a $500 million debt fund that will invest in subordinated and securitized debt issued by Fannie Mae and Freddie Mac. It is the first debt fund for the rental housing investor.
“The formation of Greystar Credit Partners is a logical progression for us,” says Bob Faith, founder and CEO of Greystar.
Brett Lashley, managing director at Greystar, will oversee the investment activities of Greystar Credit Partners I LP. Prior to joining Greystar in 2009, Lashley was managing director and COO at ORIX Finance, a subsidiary of ORIX USA. He previously worked at Bear Stearns & Co. in fixed income sales.
Lashley points to Greystar’s vertically-integrated rental housing platform and its familiarity with the GSEs’ origination and underwriting guidelines as reasons why it is well-positioned to invest in the most subordinate part of the capital structure. “We like the risk/return metrics these instruments make available, particularly when our internal data provides the appropriate guidance,” he says.