Pathfinder Partners Announces Quarterly Close of Fund with Over $ 95 Million in Commitments; The offer remains open to accredited investors
SAN DIEGO – (BUSINESS WIRE) – Pathfinder Partners (“Pathfinder”), a San Diego-based private equity firm specializing in multi-family real estate investments, today announced the quarterly close of Pathfinder Income Fund, LP (the “Fund”), with more $ 10 million in new commitments bringing the Fund’s total capital to over $ 95 million. Pathfinder also announced the $ 44 million Fund acquisition of Echo Ridge, a 168-unit apartment community in Denver, Colorado.
A stabilized multi-family fund open to accredited investors, Pathfinder Income Fund continues to seek out new properties. The Fund acquired seven properties of 900 units in five markets in the western United States. Pathfinder has acquired or sold over $ 1 billion in properties since its founding in 2006.
“Following one of our most successful quarterly closings to date, accredited investors still have a tremendous opportunity to take advantage of the current imbalance between supply and demand for housing in the United States by adding additional real estate to their portfolios, ”said Mitch Siegler, Co-Founder and CEO of Pathfinder. “With the availability of low-cost debt and favorable market demographics, Pathfinder Income Fund offers a low-risk, income-generating vehicle for investing in multi-family properties and a legitimate alternative to the bond market – with an edge. superior.”
With a focus on downside protection, the Pathfinder Income Fund focuses on stabilized, income-producing Category B apartments, providing a margin of safety not found elsewhere. The Fund’s conservative approach to debt, the bias in favor of fixed rate debt, and the focus on cash-flow properties provide investors with an opportunity to generate income and enjoy an advantage. tax to broaden their exposure to real estate.
The Fund’s most recent acquisition, Echo Ridge, a 1999 multi-family property, offers easy access to Boulder, Broomfield and downtown Denver, is within 15 minutes of retail and entertainment options high quality and offers tenants access to community spaces including a swimming pool, picnic areas, fitness center and clubhouse. Echo Ridge presents an immediate opportunity to increase cash flow and generate significant additional income with much lower rents than newer properties nearby.
“We’ve always believed that investing in multi-family properties is a resilient business, but after a year like no other, multi-family has proven to be even more resilient than we thought,” added Siegler. “The acquisition of Echo Ridge, similar to other properties in the Income Fund’s portfolio, illustrates a strong portfolio of attractive multi-family properties in cities with high population growth, jobs and rents, and we expect this momentum will continue for the foreseeable future.
5% immediate annual cash flow distributions; Targeting 2.3 times the net multiple of equity, 13% gross average annual returns, 10% + net internal rate of return
Favorable distribution of 85% / 15% between the limited partners and the general partner
Large cash flow can be reduced with depreciation expense
Pathfinder invests in Seattle, Portland, Sacramento, San Diego, Phoenix and Denver.
This press release does not constitute an offer to sell or the solicitation of an offer to buy securities in any jurisdiction in which such an offer or solicitation is not permitted and does not constitute an offer in any jurisdiction to any person. to whom such an offer would be illegal. In addition, the securities offered by Pathfinder have not been registered under the Securities Act, state securities laws or the securities laws of any other jurisdiction and may not be offered or sold. in the absence of registration or an applicable exemption from registration requirements.
For more information on Pathfinder Income Fund, please visit pathfinderfunds.com/incomefund.
About Pathfinder Partners
San Diego-based Pathfinder Partners was founded by Lorne Polger and Mitch Siegler in 2006 to make opportunistic and value-added real estate investments. Pathfinder has acquired or sold over $ 1 billion in properties since its inception and currently has over $ 725 million in income-generating multi-family real estate assets under management in six mid-sized cities in the western United States. . For more information about the company, visit pathfinderfunds.com.
Certain statements in this press release constitute “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995, including those regarding the proposed offering of securities and the intended return on investments and the net multiple of equity. . These forward-looking statements are made only as of the date of this press release and are based on Pathfinder’s current intention, beliefs, plans and expectations. They involve risks and uncertainties which could cause actual results, performance or future developments to differ materially from those described or implied by these forward-looking statements. Pathfinder assumes no obligation to update or revise forward-looking statements to reflect changed assumptions, the occurrence of unforeseen events, or changes in future operating results over time, except as required by law.