Housing Partnership Equity Trust

Maintaining affordable rental housing

Walnut Square

The Housing Partnership Equity Trust (HPET) is the country's first social venture real estate investment trust (REIT) owned by nonprofits and devoted to preserving affordable rental housing. Established in 2012, HPET is a groundbreaking venture that enables members to act with the same speed and flexibility as for-profit buyers looking to purchase rental properties. By aggregating capital from private markets, foundations and members, HPET participants can quickly bid on properties without needing to first assemble complex financing packages.

An initial capital raise of $100 million, made up of PRIs from the MacArthur and Ford Foundations, investment capital from Prudential, Citi and Morgan Stanley and member investments has already resulted in the purchase of six properties, representing over 1,100 units of affordable rental housing. In addition to maintaining the properties as affordable rental housing, HPET members are taking steps to upgrade the properties and keeping them 'green'.

HPET is now embarking on a second capital raise of $100 million of equity for the acquisition of additional properties in 2015. We are also looking to expand our donor base as well with investments from a new class of social impact investors. The goal is to raise sufficient funds to purchase an additional 8 properties and 3,000 units of affordable rental housing over the next year.

For more information, contact Drew Ades.