Graywood Completes Final Closing of Graywood Fund X on March 12, 2025

TORONTO, April 29, 2025 /CNW/ - Graywood Developments ("Graywood") is pleased to announce it has completed the second and final closing of its tenth private real estate equity fund, Graywood Fund X Limited Partnership ("Fund X") on March 12, 2025. Commitments total approximately $100 million and include a $20M commitment from a new institutional client. Investors participating in Fund X include Canadian pension plans, financial institutions, family offices and high net worth individuals.

Fund X's mandate is to develop new for-sale and rental housing in the Greater Golden Horseshoe region, primarily in the Toronto Area. The fund is seeking a minimum 15% net IRR / 2.0x net multiple. For interested investors, joint venture and co-investment opportunities are available.

"We continue to see excellent opportunities to acquire land at favourable pricing with fewer bidders on sites and more vendors who are motivated to sell", says Stephen Price, President and CEO. "We are carefully reviewing opportunities and are only pursuing sites at the best locations with competitive pricing". 

Graywood has now waived conditions on its first investment for Fund X, 170-180 Merton Street. The premium property is located in the Mount Pleasant Neighborhood of Midtown Toronto and is less than a 10-minute walk from the Davisville subway station. It was acquired at an attractive land basis that is approximately a 40% discount to 2022 pricing and structured to include a one-year deferred closing, as well as a partial two-year interest-free vendor financing. This deal supports Fund X's investment thesis of capitalizing on lower land costs benefitting from the higher interest rate environment over recent years.

Also noteworthy, Graywood has recently closed a new strategic partnership with Japanese real estate firm Hankyu Hanshin Properties, a subsidiary of Hanyku Hanshin Holdings (TYO: 9042; $10.8B CAD Market cap) to develop high-quality residential projects within the Greater Toronto Area. The first collaboration will be a joint venture on a mid-rise project in Graywood's previous fund, Graywood Fund IX. As part of its global growth strategy, Hanyku Hanshin Properties selected Graywood to help it establish a presence in Canada and will be reviewing new opportunities alongside Graywood that will allow for further diversification and higher return potential for Fund X. 

About Graywood

Graywood is a private investment management company based in Toronto that specializes in the development of residential mixed-use real estate projects of exceptional quality. Graywood's expertise includes identifying attractive development sites, deal underwriting and structuring, all aspects of development management including land use approvals, project design, sales, marketing, construction management and project financing. Graywood is also actively developing purpose-built rental projects across the Greater Toronto Area, and currently asset manages a portfolio of income properties valued at $1.6B. Graywood currently has 11 active projects with 5,500 residential units under development, representing $4.4 billion in development value. During its 40-year history, Graywood has managed 55 projects, representing $9.5 billion in development value and 32,100 units.

SOURCE Graywood Developments

For more information, contact: Aleks Karamarkovic, Senior Vice President, Corporate Development, Graywood Developments LP, [phone], www.graywoodgroup.com; Media Contact: Vakis Boutsalis, Vice President, Partner, kg&a, [email protected], 416-578-1741