Walton Global, a land asset management and global real estate investment company, has launched its U.S. capital markets business line with two new private placement funds that aim to support the “escalating need for land” by U.S. homebuilders.
The Regulation D 506 (c) funds include the U.S. Residential Growth Fund and the U.S. BILT Fund and will be offered to registered investment advisors, broker-dealers, institutional and family office investors across the country. The funds will focus on acquiring land in submarkets near growing metropolitan cities in Texas, California and Colorado, among others
“Our new U.S. strategy is based on the continued demand for housing which is depleting homebuilders’ land inventory faster than they can build homes,” said Todd Woodhead, executive vice president of capital markets for Walton. “Homebuilders are searching for a steady flow of land into their pipelines, so they can bring new homes to the market as quickly as possible.”
“Our new funds are intended to help homebuilders with land inventory while intending to provide our investors with attractive returns and continuous cash flow. Based on projections, the real estate market isn’t anticipated to slow down anytime soon, which will fuel our funds well into the future,” added Woodhead.
The U.S. Residential Growth Fund seeks to raise $50 million and offers investors exposure to short-term land investments, partnering with public homebuilders in target markets throughout the United States. According to Walton, cash flow is projected to begin within two to three years.
The U.S. BILT Fund seeks to raise between $50 million and $100 million to invest in land assets identified by a “top U.S. homebuilder” for their nearest-term development projects, Walton said. Cash flow is projected to begin within six months.
Headquartered in Scottsdale, Arizona, Walton is a privately-owned company focused on the research, acquisition, administration, planning, and development of land. The company has 42-years of experience in the land industry and manages and administers $3.4 billion in assets on behalf of global investors located in 71 countries, builders and developers, and industry partners. Walton has more than 98,000 acres of land under ownership, management and administration in the United States and Canada.