Turner Impact Capital Closes $1.3B Housing Fund

Armed with more than $350 million of committed capital, the vehicle aims to acquire and manage as many as 10,000 affordable workforce units.
Bridgeport Apartments. Image courtesy of Turner Impact Capital

Private equity real estate firm Turner Impact Capital has closed its second affordable workforce housing fund with more than $350 million of committed capital and $1.25 billion of investment potential. The vehicle, Turner Multifamily Impact Fund II, is a successor to the company’s Turner Multifamily Impact Fund, which launched in 2015.


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The fundraise will enable the company to acquire and manage up to 10,000 multifamily units, keeping them at rent levels that are affordable to those earning less than the area median income. Investor Bill Ackman’s The Pershing Square Foundation partnered with Turner Impact for the fund, which has already purchased seven apartment communities with an eighth under contract, comprising a total of nearly 3,100 units.

These acquisitions include the 270-unit Ventana Apartments in Dallas, which the fund picked up in September, and Bridgeport Apartments, a 312-unit affordable community in Irving, Texas, which was acquired in April.

Homes and services

The new investment strategy is aimed at residents in the workforce bracket, such as many teachers, healthcare workers and police officers, who earn too much to qualify for subsidizing housing but cannot afford to rent a high-end apartment or buy a home. Turner Impact noted in a statement that an estimated 30 to 40 million people are at risk of losing their housing as renter protections expire.

The company added that its model involves lowering expenses for residents rather than the more conventional approach of acquiring workforce housing, upgrading it and raising rents. The strategy also includes the provision of needs-based services geared towards everyone from children to seniors, such as employment assistance, community health services and neighborhood watch.

Turner Impact partners with community service providers such as Access Community Health Network and local food banks to roll out the programs. Helmed by CEO Bobby Turner, the social impact investing firm owns and manages communities in major metro areas across the U.S., and has acquired about 11,000 units with 18,000 residents.