DALLAS-Dutch pension fund PGGM will invest up to $100 million of equity into Behringer Harvard's 2007 campaign to build a multifamily investment portfolio. With leverage, the first-time JV will acquire roughly $400 million of US assets in various development stages.
Behringer Harvard and PGGM have worked out a flexible agreement in terms of the class A multifamily product and property criteria. Additional in-depth details about the JV's roll-out will follow. "Given the opportunities in the marketplace, I think we're going to be able to invest this fairly quickly," Jason Mattox, executive vice president of Dallas-based Behringer Harvard, tells GlobeSt.com.
Bradley Olsen of Atlantic Partners in Raleigh, NC, helped to arrange the JV, which has been pulled together just in recent months. "We always like to grow our investment business," Mattox explains. "At the same time, I also know they were looking for opportunities to increase their multifamily investments in the US."
Behringer Harvard will hold the keys to strategic management from acquisition through disposition. "PGGM is highly selective about the programs it chooses to participate in," Robert M. Behringer, founder and CEO of the local investment group, says in a press release about the JV's rollout. "Their decision to co-invest with us represents a strong endorsement of our multifamily development and acquisition platform."
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