- What Walker & Dunlop Investment Partners plans to increase the joint venture to US$500m
- Why There is a growing need for preferred equity at an attractive cost
- What next The joint venture will continue to invest in U.S. residential asset classes
Walker and Dunlop Investment Partners plans to double the size of its programmatic joint venture with Ivanhoe Cambridge to US$500m ($685.3m).
The partnership was formed in 2021 and will continue to make preferred equity investments in multifamily, student housing and manufactured housing properties in the U.S. The move comes amid a growing need to preferred equity at an attractive cost.
The joint venture focuses on cash-flowing assets, primarily in top 25 metropolitan statistical areas, with three- to 10-year investment horizons.
“Our partnership with WDIP is part of our broader strategy to increase investments within the preferred equity space in line with our sectoral convictions, providing a much-needed capital solution at an attractive risk-adjusted return profile,” said Eric Desjardins, senior director for investments, U.S. residential, at Ivanhoe Cambridge.
Ivanhoe Cambridge, part of CDPQ, held $77bn of real estate assets — primarily in the logistics, residential, office, and retail sectors — as of Dec. 31.
Walker & Dunlop Investment Partners is a subsidiary of real estate finance company Walker & Dunlop.