Atlanta-based Access Private Capital, the private equity arm of Berkeley Capital Partners, announced today the funding of its latest GP real estate fund totaling $20 million. The fund has invested alongside several institutional partners led by Dallas-based Montgomery Street Partners and a Fortune 500 insurance carrier to launch Ground Lease REIT (GLR), a private REIT that plans to deploy $1 billion toward the initiation and assembly of senior, unsubordinated ground leases across various commercial real estate asset classes in top US metropolitan markets.
“Though the ground lease concept has been around for some time, its modernized application has only recently allowed for investment-level scale,” remarked Tony Palazzo, Managing Director of Access Private Capital. “We’re pleased to offer our investors an opportunity to capitalize on the growing adoption of this capital structure.”
“We believe ground leases to be an efficient and accretive financing alternative for real estate owners and developers,” commented Murray McCabe, head of Montgomery Street Partners. “Equally, we believe this is an extremely compelling opportunity for investors to gain access to long-duration, inflation-protected real estate assets that are cycle-tested.”
Access Private Capital’s GLR investment complements the firm’s $25 million position in a private single-family rental REIT initiated in 2018 that has since scaled from 4,100 homes at inception to nearly 10,000 homes over the last two years.
Access Private Capital is the private equity arm of Berkeley Capital Partners, a Registered Investment Advisory firm located in Atlanta, Georgia with more than $550 million in assets under management. Currently, Access Private Capital oversees more than $70 million in private equity investments, including a private lending fund launched in April of 2018.
Sponsored and managed by Montgomery Street Partners (“MSP”), Ground Lease REIT (“GLR”) is a dedicated vehicle specializing in the origination and acquisition of unsubordinated long-term ground leases. GLR’s investment strategy is to acquire existing and originate new 99-year senior unsubordinated ground leases on developments, value-add projects and stabilized assets across all property types in the top 50 U.S. MSAs. MSP has acquired and developed over $3 billion of commercial real estate since 2013, with a focus on niche, durable real estate sectors, including manufactured housing, student housing, seniors housing, affordable living, self-storage, infill industrial, and other opportunistic investments. For more information, please visit www.glreit.com
As of December 30, 2020.