Fairstead has launched an investment vehicle targeting affordable housing General Partner interests with the acquisition of the GP interests in a 1,568-unit portfolio from The Hampstead Companies.
The portfolio, valued at $160 million, includes 16 properties in California, Arizona, Nevada, Georgia, South Carolina, and Maryland.
The acquisition increases Fairstead’s national footprint to 14 states and more than 11,500 affordable, mixed-income and market-rate rental units. In the last three years, Fairstead has acquired more than 8,000 units of affordable housing across the country.
“The acquisition, rehabilitation, and preservation of affordable housing has been a priority of Fairstead’s since day one,” said Will Blodgett, co-founder and partner of Fairstead. “This transaction is the first of what we hope will be many for our new investment vehicle targeting GP interests in large affordable housing portfolios across the country.”
Blodgett said Fairstead is seamlessly taking on property improvements throughout the portfolio and is dedicated to continuing Hampstead’s legacy of providing and preserving high-quality, affordable housing.
“Hampstead worked closely with the Fairstead team to structure a series of strategic dispositions that allowed for Hampstead to complete an internal corporate restructure and left the company well positioned for future growth,” said Greg Gossard, president of The Hampstead Companies.
“The transaction was particularly complex, but the combined team’s tenacity and flexibility allowed for a series of successful closings.”