Greystar Aims to Raise Capital in Mexico to Fund Development

The company is seeking to raise as much as 4 billion Mexican pesos (about $194 million) in 2017 from Mexican pension funds.
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Credit: Rob Young

Charleston, S.C.—Greystar Real Estate Partners LLC, a rental housing specialist based in Charleston, S.C., has filed an application for a special securities instrument known as a “development capital certificate” on the Mexican Stock Exchange. Through the instrument, the company is seeking to raise as much as 4 billion Mexican pesos (about $194 million) in 2017 from Mexican pension funds.

The capital, according to the company, will be used to develop and manage rental residential housing in various Mexican markets including Mexico City, Monterrey, Guadalajara and the Bajío region.

Greystar entered the Mexican multifamily market in 2012. The company has an office in Mexico City that houses dedicated investments, development and operations teams. Currently Greystar is overseeing the development of more than 1,500 residential units and has built a pipeline exceeding an additional 1,500 residential units.

“Greystar’s planned capital raise in Mexico reflects our commitment to further advance the company’s international growth strategy,” said Bob Faith, chairman & CEO of Greystar. “Our history in the market, together with our rental housing expertise, positions us well to capitalize on the opportunities we see throughout the country.”

He added that Greystar aims to leverage its rental housing expertise and local market knowledge to facilitate development. Globally, Greystar operates more than 400,000 rental units across 160 markets, with an ownership interest in assets worth over $14 billion.