Salt Lake City, UT-based Bridge Investment Group has launched a $75 million venture to acquire, develop and operate needs-based senior housing properties within the United States, the company announced Monday.
La Jolla, CA, and New York City-based StepStone Real Estate co-invested in an existing portfolio managed by Bridge and intends to help build the platform by co-investing in other senior housing properties identified by Bridge in the future, the company said.
The co-investment marks a strategic milestone for the Bridge Investment Group as the company works to expand its needs-based senior housing strategy, Robb Chapin, CEO and co-chief investment officer for Bridge’s seniors housing vertical, said in a press release.
“We teamed with Bridge because we believe their vertically integrated platform and their approach to investing, informed by their property-level operating capabilities, will position them to successfully execute this strategy,” he added.
Blake Peeper, co-chief investment officer of Bridge Seniors, noted that the sector is “supported by attractive market fundamentals.”
StepStone said it is approaching the venture as an opportunity to both further its social mission by helping to provide needs-based housing to older adults and also to provide “attractive” risk-adjusted returns to investors, according to John Waters, a partner and head of investments at the company.
“We teamed with Bridge because we believe their vertically integrated platform and their approach to investing, informed by their property-level operating capabilities, will position them to successfully execute this strategy,” Walters said.
Bridge Investment Group is a vertically integrated real estate investment manager, diversified across specialized asset classes — senior housing, multifamily, affordable housing, office, development, logistics net lease, logistics properties, debt strategies and agency mortgage backed securities. As of the end of the third quarter of 2021, the company reported $31.8 billion in assets under management. Senior housing accounted for 11,200 units within Bridge’s portfolio.
At the end of 2021, StepStone reported $548 billion in total capital allocations and $127 billion in assets under management.
