Second Avenue Group secures programmatic JV equity partner
JLL Capital Markets arranged the JV equity partnership between Second Avenue and Sculptor for the expansion of SFR acquisitions across target markets
CHICAGO, Jun. 29, 2023 – JLL Capital Markets announced today that it has arranged the programmatic joint venture equity partnership between Second Avenue and Sculptor Real Estate ("Sculptor"), the real estate business of Sculptor Capital Management, Inc. (NYSE: SCU), a leading global alternative asset management firm specializing in real estate, credit and multi-strategy investment products, for the expansion of SFR acquisitions.
JLL worked on behalf of Second Avenue Group, a full-service, institutional-quality single-family rental platform with over 150 seasoned professionals in operations and 70 tenured professionals in technology across their offices in Tampa and Miami, as well as additional operating markets.
“Sculptor is the fifth multi-billion dollar fund since early 2022 to partner with Second Avenue to acquire homes, and they join an esteemed group of legacy investors including Monroe Capital, Waterton, BLG Capital Advisors and others,” said Second Avenue CEO and Founder Mike Rothman. “The partnership further demonstrates investor demand for our platform, which is purpose-built for the SFR industry – and clearly signals how much growth potential still remains for investors in the broader SFR space. Second Avenue chose JLL Capital Markets to help us raise capital to continue fueling our growth now and in the future.”
Sculptor will add approximately 500 single-family rental homes to the partnership and commit up to $100 million of additional capital to grow the portfolio. Currently, Sculptor’s SFR portfolio covers eight of the eighteen major markets where Second Avenue currently owns SFR homes.
The JLL Capital Markets Equity Advisory team was led by Managing Directors Matthew Putterman and Chris Shea, Senior Managing Director Danny Kaufman, Senior Director Christopher Knight and Analysts Davis Burnett and Sam Huff.
“Single family rental homes continue to represent one of the highest performing real estate asset classes given continuing demand drivers,” said Putterman. “Second Avenue’s industry leading, technology-driven SFR platform offers investors and renters a best-in-class experience.”
JLL Capital Markets is a full-service global provider of capital solutions for real estate investors and occupiers. The firm's in-depth local market and global investor knowledge delivers the best-in-class solutions for clients — whether investment sales and advisory, debt advisory, equity advisory or a recapitalization. The firm has more than 3,000 Capital Markets specialists worldwide with offices in nearly 50 countries.
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About JLL
For over 200 years, JLL (NYSE: JLL), a leading global commercial real estate and investment management company, has helped clients buy, build, occupy, manage and invest in a variety of commercial, industrial, hotel, residential and retail properties. A Fortune 500® company with annual revenue of $20.8 billion and operations in over 80 countries around the world, our more than 106,000 employees bring the power of a global platform combined with local expertise. Driven by our purpose to shape the future of real estate for a better world, we help our clients, people and communities SEE A BRIGHTER WAYSM. JLL is the brand name, and a registered trademark, of Jones Lang LaSalle Incorporated. For further information, visit jll.com.
About Second Avenue
Second Avenue provides high quality professionally managed rental homes for today’s families. A full-service single-family rental platform, founded in 2017, Second Avenue offers proprietary, technology based solutions to home buyers, sellers, renters, and investors. The firm’s unified, end-to-end institutional quality asset management platform aggregates and enhances all aspects of single family rental investment and operations. With over $1 billion under management, Second Avenue is privately held and headquartered in Tampa with regional teams throughout the United States. For more information about Second Avenue, visit: www.secondavenue.com.
About Sculptor
Sculptor is a leading global alternative asset management firm with approximately $35 billion in assets under management specializing in real estate, credit, and multi-strategy investment products. Sculptor’s real estate business was founded in 2003 and has invested in over $20.3 billion of real estate assets across 28 different real estate related asset classes including direct equity investments, preferred equity structures, ground leases, senior loan, mezzanine loans, among other real estate investments. For more information, visit www.sculptor.com.