UDR Expands Strategic Partnership with LaSalle in $230M Multifamily Real Estate Venture
- UDR expands partnership with LaSalle Investment Management, increasing joint venture value to approximately $850 million.
- The joint venture now includes 2,564 homes, focusing on revitalizing older apartment communities.
- UDR aims for further growth opportunities with LaSalle by 2026, enhancing their multifamily market presence.
UDR and LaSalle Investment Management Expand Strategic Partnership in Multifamily Real Estate
UDR, Inc., a leading multifamily real estate investment trust, solidifies its strategic partnership with LaSalle Investment Management through a significant expansion of their joint venture. LaSalle announces the closure of a $230 million investment, raising the total value of the collaboration to approximately $850 million. This expansion enhances the joint venture's portfolio to include 2,564 homes, reflecting a robust commitment to growth in the multifamily sector. The newly acquired properties consist of four apartment communities located in Portland, Orlando, and Richmond, all constructed around 1985, showcasing UDR's focus on revitalizing older communities through strategic investments.
Stuart Sziklas, LaSalle's Global Portfolio Manager, commends UDR's dedication to high-quality operations and innovative approaches, which have fostered a productive partnership. Under the terms of the new agreement, LaSalle will hold a 49 percent stake in the newly added properties while UDR retains a 51 percent interest. This structure not only emphasizes the collaborative nature of the partnership but also aligns the interests of both companies in optimizing returns and enhancing property management. UDR’s Chairman, CEO, and President, Tom Toomey, notes that this expansion significantly contributes to the geographic diversification of the joint venture, a strategy essential for navigating market fluctuations and enhancing long-term profitability.
Looking ahead, both UDR and LaSalle express intentions to explore further growth opportunities for their partnership by 2026. This forward-thinking approach underscores the companies' commitment to leveraging their combined expertise in the multifamily space to capitalize on emerging trends and market demands. With LaSalle managing $88.5 billion in global real estate investments and UDR boasting a portfolio of over 60,000 apartment homes, their partnership positions them well to enhance their presence in the multifamily real estate market while delivering reliable returns and high-quality living experiences to residents.
In addition to this strategic expansion, UDR's ongoing development projects, with 300 homes currently under construction, reflect its commitment to meeting evolving housing needs. The collaboration with LaSalle not only strengthens UDR's operational capacity but also enhances its ability to deliver quality service to residents across diverse locations. As both companies continue to align their strategies, the multifamily real estate sector can anticipate innovative developments and sustained growth in the years to come.
