Partners Group to Buy US Rental Homes for Over $1 Billion

According to people with knowledge of the matter, Partners Group Holding AG has agreed to buy more than 2,000 rental houses owned by Fortress Investment Group.

The transaction values the portfolio at more than $1 billion, according to one of the people who requested anonymity. There are more than 2,000 new-build homes operated by Kairos Living. They are mostly located in the US Sun Belt, with cities such as Oklahoma City, Amarillo, Texas, and Atlanta.

Representatives for Baar-Zug, Switzerland-based Partners Group and Fortress did not respond. The representatives of Kairos didn't reply to the request for comment.

During the Pandemic, single- family rentals became a favored property type as families sought bigger living spaces. New investments were made by firms such as KKR Co.

The US housing shortage has helped landlords such as Invitation Homes Inc. and American Homes 4 Rent. That has given some investors confidence to keep buying rental houses.

According to ratings information for a 2021, a Chicago-based company called Kairos has acquired homes for funds managed by Fortress.

The website shows that Partners Group has $18 billion under management in private real estate.