Pritzker Realty Group and The Bozzuto Group Form $75M JV to Acquire, Develop MF Properties
- Jul 29, 2010
Atlanta–Pritzker Realty Group and The Bozzuto Group have formed a joint venture with an initial capital commitment of $75 million.
“Pritzker will provide a vast majority of the equity, we will contribute a significant amount and we will jointly own the properties,” Tom Bozzuto, CEO of The Bozzuto Group, tells MHN. “As we talked to various prospective partners, we realized that we shared a common perspective with the Pritzkers on the future of the market and the style of doing business. We have a history of partnering with financial institutions and companies so it was something we were very comfortable with and it made sense for us.”
The joint entity plans to acquire Class A properties around the country and from a development perspective it will focus on mixed-use transit oriented developments with high-density as well as luxury rentals. The group will seek multifamily development and acquisition opportunities in high-growth locations throughout the Mid-Atlantic and Northeast regions, with specific focus on the greater Washington-Baltimore metropolitan area.
“The proportion of how much we will spend on developments as opposed to acquisitions will depend on the opportunities we see. So it’s all fluid,” says Bozzuto.
Penny Pritzker, CEO of Chicago-based Pritzker Realty Group, says, “This partnership allows us to tap into Bozzuto’s market expertise to invest in multifamily developments.”
The Bozzuto Group and Pritzker Realty Group believe that rental opportunities in certain markets will see an extraordinarily robust real estate recovery.
“We hope to make these investments over the next two to three years and in this agreement, there is the ability to renew the agreement for an additional $75 million,” concludes Bozzuto.