Ivanhoé Cambridge has created a partnership with Veritas Investments in order to acquire multi-residential properties in San Francisco. An initial portfolio has been assembled, comprising nine properties already acquired or that are in the process of being acquired, representing a preliminary investment of nearly US$50 million. This new partnership also now provides access to numerous investment opportunities with a high potential for value creation in various neighbourhoods in the heart of San Francisco.
“The multi-residential market in San Francisco being highly fragmented, we are convinced that Veritas, with its deep market knowledge, will help us build a critical mass of assets in some of the city’s key districts,” said Sylvain Fortier, executive vice president, Residential, Hotels and Real Estate Investment Funds, at Ivanhoé Cambridge.
The initial portfolio consists of 159 residential units in nine buildings located in various central San Francisco neighbourhoods, including Lower Nob Hill, Noe Valley, Inner Mission, Alamo Square, Duboce Triangle, Westwood Park, Mission Dolores and Cow Hollow. The expansion and relocation by major technology companies continue to draw the interest of large numbers of employees wishing to live in the heart of San Francisco, creating a favourable environment for the multifamily rental market. The vacancy rate is low, and demographic factors support long-term demand.