We are pleased to announce the acquisition of a preferred equity investment in the construction of a 300-unit Class A multifamily property in Sarasota, Florida. This investment, combined with the senior construction loan, features an aggregate loan-to-cost (LTC) of approximately 69.4% based on the estimated $55.3 million construction budget. The sponsor, Waypoint Residential, plans to construct six four-story garden-style apartment buildings and a clubhouse on the 14+ acre property.

Why we invested

  • Experienced sponsor: Waypoint Residential has invested over $2 billion across more than 20,000 multifamily and student housing units located in the Southeast and Midwest markets.
  • Attractive margin of safety: Our preferred equity commitment, combined with the senior construction loan, is equal to roughly 69.4% of the total projected construction budget.
  • Great location: The property is close to downtown Sarasota, one of the fastest-growing metro areas in the nation. The city has invested significantly in schools, parks, arts, and social services, which has greatly improved the community’s appeal.

Sponsor spotlight: Waypoint Residential

The sponsor of this project, Waypoint Residential, is a national real estate investment manager focused on the U.S. rental housing sector in the Southeast and Midwest markets. Since Waypoint was founded in 2011, the firm has grown to more than 70 professionals across six offices, with senior management averaging over 25 years of real estate investment and management experience.

Since inception, Waypoint has invested over $2 billion across more than 20,000 multifamily and student housing units, including 17 multifamily properties in the state of Florida. Currently, Waypoint successfully manages two other multifamily developments within the Sarasota market, which collectively comprise over 500 units.

At Fundrise, we believe that “the jockey” is as important as “the horse” when investing in real estate. As such, we seek to engage with partners that have strong performance track records and deep market knowledge. We believe Waypoint’s experience in acquiring and developing multifamily properties–as well as their knowledge of the Florida market in particular–will aid in the success of this investment.