J.P. Morgan and Partners Announce New Build-To-Rent Housing Initiative

J.P. Morgan and Its Partners Launch Laseter Development Group

In an exciting development for the real estate market, J.P. Morgan Asset Management has partnered with Georgia Capital and its homebuilding affiliate, Paran Homes, to launch a new venture called Laseter Development Group. The initiative is designed to address the growing housing shortage in the United States by focusing on the rapidly expanding build-to-rent (BTR) market.

Laseter aims to provide quality single-family rental homes in high-demand regions across the Southeast, which has seen significant population growth and job opportunities, especially in the Sunbelt areas like Atlanta and Nashville. As part of this collaboration, both J.P. Morgan and Georgia Capital hold a 50% ownership stake in Laseter, emphasizing their commitment to this project.

The newly established company will leverage its in-house capabilities in land development and home construction, enabling it to streamline the process of increasing the housing supply. Laseter is not only focusing on building its own communities but will also offer third-party general contracting services to other developers in the BTR field.

The launch pad will see its first developments in the Atlanta suburbs and Nashville, with planned projects that will feature 165 homes and 126 homes, respectively. These projects are touted for their potential to significantly contribute to alleviating the housing crisis many communities face today.

Chad Tredway, Head of Real Estate Americas at J.P. Morgan Asset Management, stated, "This initiative underscores our strategic focus on the BTR asset class. The demographic shifts and job growth in this region are driving a surge in demand for single-family housing. Millennial buyers are increasingly opting for rentals due to soaring housing costs and the search for additional space."

In addition to Tredway, Preston Meyer, a seasoned portfolio manager at the firm, expressed enthusiasm about this partnership, citing the potential to deliver value not just for clients but also for local economies by providing much-needed housing.

Whit Marshall has been appointed as the Founder and CEO of Laseter, bringing over two decades of expertise in land development and residential construction management to this role. Marshall noted the distinct differences between the institutional investment realm and the production homebuilding sector, emphasizing how their combined experience uniquely positions them to meet the needs of the evolving real estate landscape.

Georgia Capital and Paran Homes have been active in the BTR space since 2020, during which they've successfully developed a robust portfolio including ten BTR projects and several forward sale transactions. Since 2010, these firms have created more than 3,000 single-family homes and developed or financed over 6,000 residential lots.

In the broader scope, J.P. Morgan Asset Management has established itself as a leader in the single-family rental market, managing nearly $2 billion across 65 communities and over 6,000 homes nationwide. This significant investment illustrates their dedication to addressing the acute need for affordable housing options across markets.

About Laseter Development Group

Laseter Development Group specializes in creating high-quality BTR communities throughout the Southeast, recognizing the distinct execution style required for BTR projects compared to traditional housing. By integrating land development and construction expertise with an institutional perspective, Laseter seeks to offer affordable and quality homes while maximizing efficiency and enhancing value for clients and partners.

About J.P. Morgan Asset Management

J.P. Morgan Asset Management stands as a global leader in alternative investments, boasting over 60 years of experience with a management portfolio exceeding $400 billion as of late 2024. The firm’s operations span across multiple asset classes, positioning itself as a comprehensive investment management service provider for a diverse clientele including institutions and individual investors.

As the demand for affordable housing continues to rise in various markets, initiatives like Laseter Development Group signify a proactive approach to one of the most pressing challenges facing the U.S. today.