Continental Properties Company, Inc. Announces Successful Closing of Two Real Estate Funds Valued at $1 Billion
MENOMONEE FALLS, Wis., January 13, 2022 (Newswire.com) - Continental Properties Company, Inc. ("Continental Properties"), a leading national multifamily and commercial real estate developer, owner, and operator, has announced the closing of Continental Properties Real Estate Income Fund III, L.P. ("Fund III") and Continental Properties Real Estate Income Fund IV, L.P. ("Fund IV"). The closed end funds placed 100% of committed capital on Dec. 21, 2021, to acquire two portfolios consisting of 14 apartment communities developed by Continental Properties with an aggregate value of $1 billion. Consistent with Continental's prior income funds, Fund III and Fund IV are comprised of high-quality, newly constructed suburban multifamily communities with proven operating performance that will begin making distributions to investors in the first quarter of 2022.
"We've had an extraordinary year closing four real estate funds and raising over $730 million of equity," said Jim Schloemer, Co-founder and Chairman of Continental Properties and Treasurer of the National Multifamily Housing Council. "The simultaneous closing of two income funds at year-end in addition to closing a development fund and income fund earlier in the year is a great achievement, and our entire team is proud of these accomplishments."
The closings follow on the heels of Continental Properties Real Estate Development Fund I, L.P. which closed in January 2021 with $180 million of equity and can support total development costs of over $850 million, and Continental Properties Real Estate Income Fund II, L.P. which closed in April 2021 with $206 million of equity and a total portfolio value of $588 million.
"The funds' popularity demonstrates our investors' enthusiasm for developing and owning suburban multifamily real estate and confidence in Continental Properties' ability to deliver attractive risk-adjusted returns implementing this strategy on a national scale. We broke ground on 3,625 apartment homes in 2021 including our 100th Springs-branded multifamily community. We continue to see great opportunities in the markets in which we operate, and we expect to deliver on a robust development pipeline in the coming year," stated Dan Minahan, President and COO of Continental Properties. "We anticipate the capital from Development Fund I will be fully deployed by the middle of the first quarter, and we are currently engaged in fundraising efforts for Development Fund II, which will invest in developments of our Springs, Authentix, and Avanterra branded communities over the next 18 to 24 months."
"We are thrilled with the interest from investors in both our income funds and development funds, and we continue to see heightened interest in our investment offerings. With the closings of Fund III and Fund IV, we currently manage over $880 million of equity across our five funds with a total portfolio value of $3.1 billion," commented Alex Wagner, Director of Investor Relations. "2021 was an exceptional year for us despite all of the uncertainty in the markets, and we are excited about the opportunities ahead of us in 2022." For additional information, please visit our investor website and reach out to Continental's Investor Relations Team at (262) 502-5500 or IR@cproperties.com.
About Continental Properties
Continental Properties is a Wisconsin-based national developer and operator of multifamily communities, retail, and hospitality properties. Since its inception in 1979, Continental Properties has developed over 100 apartment communities encompassing more than 29,500 apartment homes in 19 states. Currently, Continental Properties owns and manages 69 communities comprised of over 18,000 homes in 15 states. For more information, about Continental Properties, visit www.cproperties.com.
Media Inquiries
Continental Properties Company, Inc. (262) 502-5500 media@cproperties.com
This release is not an offer to sell or the solicitation of an offer to purchase securities. Any such offer or solicitation to invest, if made, will be made only by means of a Private Placement Memorandum (PPM). This release excludes material information detailed in the PPM, including, but not limited to risk factors. Investors should decide to invest based solely on the information provided in the PPM and other applicable offering documents. This release may include forward-looking statements, which can include forecasts and projections, which by their very nature, are subject to certain risks and uncertainties that could cause actual results to differ materially from those projected. Continental Properties is not providing any investment, legal, or tax advice herein. Investors should speak to a financial or tax advisor for such matters. All investments involve risk, including the potential for loss of the entire principal amount investment.
Source: Continental Properties Company, Inc.
