Peakhill Capital and Declaration Partners Form Strategic Joint Venture to Expand Preferred Equity Investments Across the U.S.

BETHESDA, MD, Aug. 12, 2024 /PRNewswire/ - Peakhill Capital, a commercial real estate lender, today announced a strategic joint venture (JV) with Declaration Partners, an investment firm anchored by the family office of David M. Rubenstein, to provide 'gap capital' to owners of residential rental properties facing loan paydowns. This collaboration is a major expansion of Peakhill's preferred equity financing platform.

The new JV seeks to fund preferred equity investments ranging from $5 million to $25 million in multifamily, student housing, and build-for-rent (BFR) projects, supporting asset owners by providing 'gap capital' behind agency, LifeCo, and CMBS loans. Peakhill Capital aims to reach $300 million in production in the next 12 months across the U.S. Declaration Partners is a flexible capital provider whose real estate team is rooted in property operations and institutional investing experience. As a firm, Declaration has over 250 years of combined institutional investment experience and $2.2 billion in assets under management (AUM) through various investment strategies.

Todd S. Rich, Co-founder of Declaration Partners and head of the real estate team, said, "Many owners of multifamily properties are finding their lenders are requiring loan paydowns.  Declaration and Peakhill can provide friendly 'gap capital' to assist those owners in successfully recapitalizing their properties. We believe that Peakhill's sourcing & servicing abilities coupled with Declaration's capital and expertise will provide a competitive advantage."

Peakhill Capital operates credit, co-GP, and preferred equity strategies throughout North America, managing more than $10 billion in assets. This partnership aims to enhance Peakhill's ability to scale operations, offer customized financing solutions to clients nationwide, and drive growth in the multifamily sector.

"Partnering with Declaration Partners perfectly complements Peakhill, and will help us extend our reach in the multifamily high-yield segment," said Sandor Biderman, Managing Director of Peakhill Capital U.S. "This collaboration aligns with our vision and strengthens our ability to deliver innovative financing solutions."

About Declaration Partners

Declaration Partners is a private investment firm that seeks to be a value-added capital partner and strategic resource to founders & entrepreneurs, management teams, and asset owners. Anchored by the family office of private equity veteran and philanthropist David M. Rubenstein, Declaration invests on behalf of family offices and like-minded institutional investors. Declaration's approach emphasizes partnership born from its family office heritage while seeking to achieve favorable long-term outcomes with strong alignment. Declaration has approximately $2.2 billion in assets under management across its private investment strategies, which include real estate, tactical growth equity, GP solutions, and other opportunistic strategies. The firm was founded in 2017 and is headquartered in New York with an office in the Washington, DC area. For more information, visit: https://declarationpartners.com/

About Peakhill Capital

Peakhill Capital is an asset manager with a direct lending platform and a joint-venture equity program. Peakhill Capital is a full-service direct lender across the full capital stack on all asset types across Canada, and is also a CMHC approved lender for multi-unit residential term, construction and affordable programs. Peakhill Equity Partners is its equity division, investing in ground-up development and value-add projects in Canada and the US. Peakhill Equity Partners seeks to identify equity investment opportunities with superior risk-adjusted returns through the capital structure. Peakhill will close in excess of $6 billion in investments of credit and equity opportunities throughout 2024. For more information, visit: https://www.peakhillcapital.com/

SOURCE Peakhill Capital