Single Family Rental Homes
Transcendent Electra is a diversified private equity investment and management firm focusing on for-rent single-family homes and attached townhomes purchased directly from homebuilders throughout the Southeast and Southwest U.S.
Leveraging decades of experience in developing, acquiring, and repositioning residential assets, the firm brings an educated approach to satisfying the rising need for budget-friendly single-family housing in key markets and providing attractive risk-adjusted returns for investors. Our dynamic, high-performing team of industry leaders and housing experts lead over 700 dedicated employees.
Why Single-Family Rentals?
The demand for rental housing has never been greater. With the U.S. population shifting away from cities and into suburban markets, the single-family home rental market is experiencing a surge in demand – particularly in fast-growing markets in Sunbelt states like Alabama, Florida, Georgia, North Carolina, South Carolina, Tennessee, and Texas.
Why Invest in Single-Family Rentals?
- Lower price per square feet entry point compared to multifamily product
- Among the most liquid of assets, with multiple exit opportunities
- Market risk spread over multiple submarkets/geographies
- Uniquely positioned to profit in both up/down market cycles
- Variety of new debt products creating competitive refinancing options
- Low capital repair requirements
About Transcendent Electra
Transcendent Electra is a joint venture between Transcendent Investment Management, a single-family rental (SFR) platform, and Electra Real Estate Ltd., an owner, operator, and developer of commercial real estate properties in Israel, Europe, North America, and India.
Founded in 1994 and based in Tel Aviv, Israel, its properties include office buildings, retail spaces, logistics centers, and hotels, as well as residential properties. Its U.S. arm is Electra America. Specializing in the acquisition, renovation, and repositioning of value-add apartment communities, Electra America owns and operates more than 90 multifamily, single-family, and hotel properties totaling 34,000 units in the Southeast/Sunbelt region, with $4.5 billion in assets under management. Electra Real Estate Ltd. is a subsidiary of Elco Ltd., a global company active in 15 countries and valued at $566 million that is publicly traded on the Tel Aviv Stock Exchange (TASE).
Established in 2021, Transcendent Electra, a joint venture, became a diversified private equity investment and management firm focusing on newly built single-family rental homes and attached townhomes purchased directly from homebuilders throughout Sunbelt states: Alabama, Florida, Georgia, North and South Carolina, Tennessee, and Texas.
In April 2021, Transcendent Electra purchased nearly 2,000 homes in the very hot single-family rental space in its first significant acquisition since it launched.
In January 2022, the company announced it’s adding nearly 3,500 new single-family homes and townhomes to its growing portfolio in transactions with a single seller that will surpass $1.25 billion.
The initial phase features 1,424 new single-family and townhomes through transactions topping $504 million. The new construction communities will consist of single-family homes and townhomes located in Tampa, FL, Atlanta and Athens, GA, and Pinehurst, NC.
Another 2,000 units totaling $750 million will immediately follow in Georgia, South Carolina, Florida, and Texas. The entire portfolio is expected to be delivered by the end of 2022.
The investment and management platform aims to acquire and develop approximately $3 billion in SFR housing over the next three years, with a focus on new-build homes in the $175,000 to $300,000 price range, where average rent will be $1,500 to $2,800 per month.
The company leverages years of experience in developing, acquiring, and repositioning residential assets. The firm brings an educated approach to satisfying the rising need for budget-friendly single-family housing in key markets.
About Transcendent Investment Management
Transcendent Investment Management (TIM) has significant experience in the single-family residential asset class as one of the first large-scale investors, dating back to the great recession when it purchased over 6,000 homes at deep discounts via multiple channels including auction, tax lien foreclosures, and real estate owned purchases.
TIM centers their investment strategy around scattered build-for-rent (BFR) newly constructed homes in new communities and purpose-built BFR of new homes highly-amenitized communities. Their newest division, Clean Living Health & Wellness, is a collection of communities that will feature technology, programming, and amenities designed to support health, well-being, and mindfulness for all residents.