The transaction represents Starwood Capital Group’s first investment in Finland to date.
“This transaction provides our investors with exposure to a high-quality portfolio of well-located residential assets in a market benefiting from structural trends towards renting. We look forward to partnering with Avara to scale this opportunity across Finland’s growth centres,” said Matthew Parrott, Vice President at Starwood Capital.
“We are excited about this partnership with Starwood, which provides a strong platform for growth and the opportunity to create further value within the portfolio,” said Harri Retkin, Chief Investment Officer at Avara.
Starwood Capital has invested in more than 30 countries around the world, including across the Americas, Europe and Asia, and has extensive experience in multifamily real estate. Starwood Capital’s portfolio includes approximately 74,000 multifamily units under management. It is one of the largest owners of market-rate multifamily housing in the United States with properties in Florida, Colorado, Washington D.C., Washington and California.
Starwood Capital will invest in this transaction through Starwood Global Opportunity Fund XI, the firm’s 11th opportunistic real estate fund, which closed in April 2018 with commitments surpassing $7.5 billion and noteworthy investments in multifamily real estate.
Pangea Property Partners and Advium Corporate Finance served as financial advisors to Starwood Capital and Avara on this transaction, while White & Case served as legal advisor.