Equity fund to preserve more than 7,500 affordable homes across the country

COLUMBIA, Md.  (June 29, 2021) –  Enterprise Community Partners (Enterprise) announced today the closing of an equity fund that would acquire and preserve $800 million in affordable and workforce homes. With $229 million in equity commitments, the fund exceeded its original $200 million target to become one of the largest preservation funds of its kind. As a result, Enterprise expects the fund to acquire and preserve more than 7,500 affordable homes over the next two years.

To help deliver on Enterprise’s five-year Strategic Plan, the fund will preserve the affordability of critical homes in underserved markets, advance racial equity by partnering with housing providers of color, and build resilience and upward mobility by implementing green improvements and resident services.

“Closing one of the largest preservation funds the industry has ever seen is a tribute to our investor partners, a validation of Enterprise’s strong track record of performance, and a credit to the many local housing providers that help us drive powerful and measurable impact while delivering meaningful financial results,” said Chris Herrmann, senior vice president of real estate equity at Enterprise. “Our experience as an investor, asset manager and advocate for affordable homes and communities, combined with our national network of mission-aligned partners, gives us an unmatched ability to make tangible impacts for our investors and the communities we serve.”

The fund’s investors include major banks, financial services organizations, family offices and foundations. 

Today, Enterprise’s preservation equity funds have more than $1 billion in assets under management, and will grow as a result of this fourth fund. They have preserved the affordability of more than 13,000 homes. Together with Enterprise’s integrated platform, in 2020 it contributed to the $2.4 billion Enterprise deployed to support communities during the Covid-19 pandemic.

Enterprise’s preservation equity funds address a dual concern: one quarter of renters in America—nearly 11 million families—pay more than half their income in rent, contributing to a growing housing affordability crisis. At the same time, existing affordable rental communities are at risk of being sold to owners who will turn them into unaffordable, market-rate properties. Enterprise’s funds allow affordable housing providers to acquire properties and preserve their affordability for the long term.

Media Contact

Jordan Miller, Group Gordon