NewStar: Opportunities Abound With Single Family Build-to-Rent
A second whitepaper from NewStar Exchange explains how single-family build-to-rent continues to be a leading real estate investment option.
NewStar Exchange previously published a 2022 paper analyzing the factors contributing to the success of multifamily investments over the past decade and then extrapolated these insights to articulate its conviction going forward for single-family build-to-rent.
The NewStar team’s thesis was simple: With the growing housing shortage, millennials entering family-forming age, affordability issues in for-sale housing and institutional interest in single-family rentals, single-family build-to-rent is poised to be a leading real estate investment opportunity of the 2020s.
More than a year has passed since that initial publication. According to NewStar, all the key drivers remain intact, and its thesis is now bolstered further with data and analytics. With this second paper, the team aims to outline how recent performance data aligns with and reinforces the investment thesis.
“We see a once in a generation opportunity in single-family build-to-rent. Limited supply and accelerating demand are driving resident demand for homes and investor demand for these new communities, all at the same time,” said DuPree. “We saw this once before – in the 2010s, investing in multifamily assets – and it led to unprecedented rent and occupancy gains as well as price appreciation.”
Click Here to Read “Doubling Down on Single-Family Build-to-Rent.”
Boone DuPree is Chief Executive Officer for NewStar Asset Management, parent company of NewStar Exchange, which he founded in 2021. Prior to forming NewStar, DuPree most recently served as an executive for Preferred Apartment Communities, Inc., a publicly traded real estate investment trust that was acquired by Blackstone in 2022. From its initial public offering through the company’s sale to Blackstone, PAC issued more than $2.6 billion of non-listed preferred stock and paid more than $675 million in preferred dividends, while delivering more than a 3.3x multiple to common stockholders. DuPree is a graduate and member of the Urban Land Institute’s Center for Leadership and a member of the Young Presidents Organization. He holds a bachelor’s degree in finance from Wake Forest University.
The views and opinions expressed in the preceding article are those of the author and do not necessarily reflect the views of The DI Wire. Past performance does not guarantee future results.
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