Affiliates of Lone Star Funds Acquire Multi-Family Portfolio

Transaction Involves 46 Newer-Vintage, Multi-Family Housing Properties Located Across the Sunbelt

DALLAS--()--Lone Star today announced that affiliates of Lone Star Funds have acquired a multi-family property portfolio from affiliates of Transcontinental Realty Investors and Macquarie Capital. The portfolio includes 46 properties totaling 9,205 units located across 17 Sunbelt markets.

Terms of the transaction were not disclosed.

This is an attractive opportunity to acquire a large-scale, diversified portfolio of newer vintage, well-located, and well-maintained multi-family properties across the Sunbelt,” said André Collin of Lone Star, President, Commercial Real Estate Funds. “The portfolio’s properties are located in attractive growth markets that we expect to benefit from continued, strong secular trends, including: business relocations, population growth and in-migration, and strong income growth.”

Capital One arranged Freddie Mac financing for the acquisition, and Eastdil Secured provided advisory services to the seller.

About Lone Star

Lone Star, founded by John Grayken, is a leading private equity firm advising funds that invest globally in real estate, equity, credit and other financial assets. Since the establishment of its first fund in 1995, Lone Star has organized 21 private equity funds with aggregate capital commitments totaling approximately $85 billion. The firm organizes its funds in three series: the Commercial Real Estate Fund series; the Opportunity Fund series; and the U.S. Residential Mortgage Fund series. Lone Star invests on behalf of its limited partners, which include institutional investors such as pension funds and sovereign wealth funds, as well as foundations and endowments that support medical research, higher education, and other philanthropic causes. For more information regarding Lone Star Funds, go to www.lonestarfunds.com.

About Macquarie Capital

Macquarie Capital is the advisory, capital markets and principal investment arm of Macquarie Group. It encompasses corporate advisory, a full spectrum of capital solutions, including capital raising services from equity, debt and private capital markets and principal investments from Macquarie’s balance sheet. Macquarie Capital has deep sector expertise in the aerospace, energy, defense and government services, consumer, gaming and leisure, financial institutions, healthcare, industrials, infrastructure, resources, software and services, technology, telecommunications, and media sectors. Macquarie Capital Principal Finance, the financing and principal investing arm of Macquarie Capital makes investments from Macquarie’s balance sheet and provides flexible primary financing and secondary market investing solutions for corporate and commercial real estate clients across North America, Europe and Australasia.

About Transcontinental Realty Investors

Transcontinental Realty Investors, Inc., a Dallas-based real estate investment company, holds a diverse portfolio of equity real estate located across the U.S., including office buildings, apartments, shopping centers, and developed and undeveloped land. The Company invests in real estate through direct ownership, leases, and partnerships, and invests in mortgage loans on real estate. The Company also holds mortgage receivables.

Contacts

For Lone Star:
Christina Pretto
+1 (212) 849-9662 (o)
+1 (917) 499-4260 (c)
cpretto@lonestarfunds.com

Contacts

For Lone Star:
Christina Pretto
+1 (212) 849-9662 (o)
+1 (917) 499-4260 (c)
cpretto@lonestarfunds.com