Atlas Real Estate and DivcoWest to the growing list of industry players moving into the single-family rental market. The two firms have teamed up on a $1 billion platform to acquire single-family rental homes throughout the West. The venture will renovate and manage the properties and will target states across the region, including Arizona, Colorado, Idaho, Nevada, and Utah.
Investment company DivcoWest, which primarily focuses on commercial properties, provided $250 million. Atlas CEO Tony Julianelle said, “The platform hopes to reach $1 billion over the next 18 to 24 months. and the firms are eyeing urban and suburban houses, with a plan to buy up existing homes from individual owners”. The effort may also use funds for build-to-rent construction“. Atlas which is Denver based company that provides property management and brokerage services, manages thousands of residential units across the West.
Single-family rentals have become increasingly popular during the pandemic as more than 50,000 rental homes have been built over the last year-a a big jump compared to the average over the last 40 years.