ARLINGTON, VA–After dipping its toes for the first time in an East Coast market earlier this year, Los Angeles-based TruAmerica Multifamily has decided to open an office in the Washington DC area to better focus on the region. It has recruited Matthew Ferrari, previously Investments Director for AvalonBay Communities, to be its Eastern US Director of Acquisitions.
It has also recruited David Myers, formerly a project manager in the Vienna, VA office of Fortune Johnson General Contractors, to be Director of Capital Improvements, and Benjamin Miller, SVP and head of asset management of Arbor Multifamily Acquisition Company (AMAC), as director of Asset Management.
A Quiet Launch and Then Lots of Growth
TruAmerica Multifamily launched in 2013 as a joint venture between Robert Hart and The Guardian Life Insurance Co. of America and quickly began acquiring various assets in the Western US. Its specialty is value-add multifamily plays – that is, acquiring apartment communities and then repositioning them or otherwise creating value such as through better operational efficiency.
It made its first acquisition east of the Rocky Mountains in June of this year, acquiring a three-property, 1,004-unit apartment portfolio in suburban Baltimore for $187 million. San Francisco-based Klingbeil Capital Management was the owner of the three properties that traded in the off-market transaction: the 158-unit Bayshore Landing in Annapolis, the 634-unit Sherwood Crossing in Elkridge, and the 212-unit Southfield in Nottingham.
True to form, the company saw value in the Maryland portfolio because of its going-in yield of 5.8% to 5.9% and because of a potential upside rent opportunity. Rental growth has been sluggish in these markets, Greg Campbell, then the senior managing director of Acquisitions for the company told GlobeSt.com at the time. “We feel like there is runway ahead for modest rent growth,” he said.
A Sizeable Footprint
TruAmerica currently manages a portfolio of more than 29,000 units with a market capitalization of approximately $6.2 billion. It is a sizeable footprint for a company that is only three years old and TruAmerica has acknowledged its rapid growth spurt requires corporate changes.
About a month after its Baltimore portfolio acquisition, the company made changes within its executive suite to better manage its growth. Noah E. Hochman was promoted to lead the firm's newly established capital markets group as senior managing director and Campbell was tapped to lead the firm's national acquisition team as senior managing director.
“None of us expected to grow this fast, and when you experience growth like this, you have to be nimble enough and thoughtful enough about what is best for the company, and put people in key positions to continue to manage that growth,” Mark Enfield, chief administrative officer, told GlobeSt.com in a previous interview.
TruAmerica will continue with its Western US investment strategy, but also plans to increase investment activities in select East Coast growth markets guided by its new office and local talent.
“Real estate is a local business and as we expand our investment platform across the United States, it was a logical and inevitable step to have boots on the ground on the East Coast,” CEO Robert E. Hart said in a prepared statement. “Not only will we be able to better identify investment opportunities in key multifamily markets in the Mid-Atlantic, Tri-State area and the Southeast, the new office allows us to further our current relationships here and develop new ones.”
Steady gains in the US economy have resulted in net positives for the multifamily sector—will this wave continue for the foreseeable future? What's driving development and capital flows? Join us at RealShare Apartments on October 19 & 20 for impactful information from the leaders in the National multifamily space. Learn more.
ARLINGTON, VA–After dipping its toes for the first time in an East Coast market earlier this year, Los Angeles-based TruAmerica Multifamily has decided to open an office in the Washington DC area to better focus on the region. It has recruited Matthew Ferrari, previously Investments Director for AvalonBay Communities, to be its Eastern US Director of Acquisitions.
It has also recruited David Myers, formerly a project manager in the Vienna, VA office of Fortune Johnson General Contractors, to be Director of Capital Improvements, and Benjamin Miller, SVP and head of asset management of Arbor Multifamily Acquisition Company (AMAC), as director of Asset Management.
A Quiet Launch and Then Lots of Growth
TruAmerica Multifamily launched in 2013 as a joint venture between Robert Hart and The Guardian Life Insurance Co. of America and quickly began acquiring various assets in the Western US. Its specialty is value-add multifamily plays – that is, acquiring apartment communities and then repositioning them or otherwise creating value such as through better operational efficiency.
It made its first acquisition east of the Rocky Mountains in June of this year, acquiring a three-property, 1,004-unit apartment portfolio in suburban Baltimore for $187 million. San Francisco-based Klingbeil Capital Management was the owner of the three properties that traded in the off-market transaction: the 158-unit Bayshore Landing in Annapolis, the 634-unit Sherwood Crossing in Elkridge, and the 212-unit Southfield in Nottingham.
True to form, the company saw value in the Maryland portfolio because of its going-in yield of 5.8% to 5.9% and because of a potential upside rent opportunity. Rental growth has been sluggish in these markets, Greg Campbell, then the senior managing director of Acquisitions for the company told GlobeSt.com at the time. “We feel like there is runway ahead for modest rent growth,” he said.
A Sizeable Footprint
TruAmerica currently manages a portfolio of more than 29,000 units with a market capitalization of approximately $6.2 billion. It is a sizeable footprint for a company that is only three years old and TruAmerica has acknowledged its rapid growth spurt requires corporate changes.
About a month after its Baltimore portfolio acquisition, the company made changes within its executive suite to better manage its growth. Noah E. Hochman was promoted to lead the firm's newly established capital markets group as senior managing director and Campbell was tapped to lead the firm's national acquisition team as senior managing director.
“None of us expected to grow this fast, and when you experience growth like this, you have to be nimble enough and thoughtful enough about what is best for the company, and put people in key positions to continue to manage that growth,” Mark Enfield, chief administrative officer, told GlobeSt.com in a previous interview.
TruAmerica will continue with its Western US investment strategy, but also plans to increase investment activities in select East Coast growth markets guided by its new office and local talent.
“Real estate is a local business and as we expand our investment platform across the United States, it was a logical and inevitable step to have boots on the ground on the East Coast,” CEO Robert E. Hart said in a prepared statement. “Not only will we be able to better identify investment opportunities in key multifamily markets in the Mid-Atlantic, Tri-State area and the Southeast, the new office allows us to further our current relationships here and develop new ones.”
Steady gains in the US economy have resulted in net positives for the multifamily sector—will this wave continue for the foreseeable future? What's driving development and capital flows? Join us at RealShare Apartments on October 19 & 20 for impactful information from the leaders in the National multifamily space. Learn more.
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