Crescent Communities, a leading multifamily developer and operator, has formed a second joint venture with Heitman, a real estate investment management firm, to invest in its single-family build-to-rent (BTR) platform across strategic growth markets. The second venture will begin with an initial commitment of $240 million, with the option to tap an additional $100 million.
The partnership follows the success of the first $345 million joint venture, which launched in 2024. It invested in six HARMON-branded BTR communities across Arizona, Florida, Georgia, North Carolina, Tennessee, and Texas. The second venture is expected to fund approximately six communities in the same strong Sun Belt growth markets as well as Colorado.
“Launching a second joint venture with Heitman is a powerful validation of our team’s ability to identify and deliver high-quality development opportunities within this growing sector,” said Tony Chen, senior managing director of single-family BTR at Crescent Communities. “As our first joint venture portfolio nears its initial community openings, we’re proud to deepen our relationship with Heitman to expand the HARMON brand and further establish Crescent Communities as a leader in the single-family BTR space.”
As with the first, the communities developed in the second joint venture will become part of the HARMON by Crescent Communities brand, offering residents the benefits of single-family living. Each community will feature townhomes and/or single-family houses with privacy, extra space, and curated amenities.
“Our decision to launch a second joint venture with Crescent Communities is driven by their proven track record in identifying and executing high-caliber development opportunities,” said Ashish Karamchandani, managing director and co-head of acquisitions at Heitman. “As demographic and affordability trends continue to fuel rental demand, we see Crescent and the HARMON portfolio as well-equipped to lead this sector.”
Crescent Communities has $7.2 billion of multifamily and commercial investments and developments in various stages of construction, planning, and operations. This includes 15,300 multifamily units. This year, the firm ranked No. 16 on the National Multifamily Housing Council’s top 25 developers list, starting 2,388 units in 2024.