Trez Capital's equity development fund exceeds initial expectations for Q1 2022
Trez Capital Private Real Estate Fund Trust (TPREF) produces strong growth for Canadian investors
Q1 2022 Highlights
- Net Asset Value (NAV) growth
- Net value add was positive
- Grew fund assets under management to over $170 million
- The fund is currently invested in projects representing over $1 billion in construction value
VANCOUVER, BC and DALLAS, Texas, May 17, 2022 /CNW/ - Trez Capital announces that the Trez Capital Private Real Estate Fund Trust ("TPREF") has outperformed 2022's first quarter performance expectations. The fund provides qualified Canadian investors access to joint-venture real estate investments with market- leading developers across Canada and the United States.
TPREF has generated 5.63 per cent of net value add for clients in the first quarter of 2022, and 8.67 per cent since the fund launched on August 31, 2021. Since launching the fund, TPREF's assets under management rose to over $170 million.
"We are proud of the results we have achieved since launching our private equity real estate fund. The recent Net Asset Value (NAV) growth is a testament to this," said Morley Greene, Chairman and Chief Executive Officer, Trez Capital. "TPREF reflects our fundamental approach to investing. We look for high- quality assets in business-friendly regions with high job and population growth. Our main goal is to create long-term value for investors."
With access to private real estate projects at the development stage throughout key markets in the United States, the Manager anticipates that investors will share in significant capital appreciation during the initial years of TPREF, and a steady, growing stream of cash flow as the properties stabilize. TPREF is currently invested in projects representing over $1 billion in construction value.
"We are off to a strong first year for the Fund, and so far, news from our projects has been overwhelmingly positive. We will continue to leverage our equity platform that sources and executes strategic joint-venture real estate investment and development opportunities, mainly across the Sunbelt states," said John D. Hutchinson, Vice-Chairman & Global Head of Origination, Trez Capital. "Our investors are participating in a diversified pool of real estate developments, with the certainty that each has been underwritten to an institutional standard. For developers, we offer flexible and consistent capital."
"We have the industry expertise and world-class partners in place to deliver the sustained and long-term returns our investors are looking for," added Greene.
In 2015, Trez Capital launched its first closed-ended Opportunity Fund, which was the company's first major foray into the equity investment business. Since then, Trez Capital has successfully raised and placed five Opportunity Funds, each tracking in excess of a 15 per cent annual internal rate of return (IRR).
TPREF* offers Trez Capital investors a new structure that combines attractive features including:
- a minimum investment of $25,000 CAD;
- monthly purchases;
- subsequent subscriptions of $5,000 CAD;
- enhanced liquidity versus traditional private equity vehicles; and
- a tax-efficient Trust structure that maximizes the capital appreciation and the long-term value of the Trust's units through the intention to primarily build and hold high-quality, well-located income-producing properties.
*Disclaimer - is best suited for clients with a long-term horizon –typically five years or more, given the nature of the asset class and fund terms. Information presented in this material is for informational purposes only. Past performance is not indicative of future performance and cannot be solely relied upon.Please consult the offering memorandum.
Distributions of Distributable Cash, if any, at each quarter end following the initial 24-month non-distribution stage.
Founded in 1997, Trez Capital is a diversified real estate investment firm and preeminent provider of commercial real estate debt and equity financing solutions in Canada and the United States. Trez Capital offers private and institutional investors strategies to invest in a variety of opportunistic, fully secured mortgage investment funds, syndications, and joint ventures; and provides property developers with quick approvals on flexible short- to mid-term financing.
With offices across North America, Trez Corporate Group has over $4* billion CAD in assets under management and has funded over 1,600 transactions totaling more than $15 billion CAD since inception. For more information, visit www.trezcapital.com. (*Trez Corporate Group AUM includes assets held by all Trez-related entities as well as $2.8 billion Manager AUM (Trez Capital Fund Management Limited Partnership)).
SOURCE Trez Capital
Sarah Haney, Trez Capital 647.460.2029, [email protected]
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