The strategic partnership gives Wood Partners access to ITOCHU’s global reach and capital, aiming to accelerate U.S. multifamily development.
Tokyo-based ITOCHU Corp. has acquired a 19.5% stake in leading multifamily developer Wood Partners. According to the Japanese firm, the partnership represents a symbolic step in its comprehensive approach to the U.S. multifamily housing sector, encompassing the supply of building materials, development, and operations.
Headquartered in Atlanta, Wood Partners has been involved in the acquisition and development of more than 115,000 multifamily homes with a combined capitalization of $24 billion. The firm, which ranks No. 3 on the National Multifamily Housing Council’s top 25 developers list for 2025 and No. 4 on the top 25 builders list, owns more than 80 multifamily communities with approximately 25,000 homes.
The long-term strategic partnership will allow Wood Partners to leverage ITOCHU’s extensive network with Japanese investors to further business expansion.
In Japan, ITOCHU has expertise in the development, management, and operation of both for-sale and rental housing, including the management of J-REIT, the largest residential-focused REIT in the country. It resumed its real estate business in the United States in 2014, making numerous investments, primarily in multifamily. However, this marks ITOCHU’s entry into the development business. By partnering with Japanese investors to invest in multifamily developments with a target of $1 billion, ITOCHU will further expand its profit related to real estate. It also will coordinate with its building materials business in North America, with approximately 100 locations, to maximize synergies, including stable material supply for developments, also helping to enhance corporate value.
“This partnership marks an exciting milestone for Wood Partners as we continue to expand our footprint and deliver exceptional communities across the United States,” said Wood Partners chairman and CEO Joe Keough. “ITOCHU’s global reach and deep expertise will complement our existing strengths, providing new avenues for capital and strategic relationships that accelerate our growth while preserving the culture and operational excellence that define Wood.”
Wood Partners’ management team will continue to hold a majority ownership stake, while long-standing partner Sarofim & Co. will retain a significant minority interest.
Baker & McKenzie served as legal counsel and SMBC Nikko Securities America served as the exclusive financial adviser to Wood Partners. Deal terms were not disclosed.
Japanese companies have been active in the U.S. housing market in recent years. A year ago, Texas-based Daiwa House USA Holdings, a subsidiary of Japan-based Daiwa House, made its first platform investment in the U.S. multifamily sector with a 35% minority stake in leading developer Alliance Residential. In addition, at the end of 2023, Sumitomo Forestry America, a housing and wood products subsidiary of Tokyo-based Sumitomo Forestry Co., completed its acquisition of multifamily developer JPI.