Och-Ziff, Kolter in $1bn residential JV

The joint venture between New York-based Och-Ziff and Florida-based real estate developer The Kolter Group is targeting residential investments in the southeast region of the US.

Och-Ziff Real Estate Acquisitions, the real estate arm of Och-Ziff Capital Management Group, and Florida-based real estate developer, The Kolter Group, are looking to acquire $1 billion (€683 billion) of US residential properties, using a combination of equity and debt.

The Kolter/Och-Ziff joint venture will invest in assets ranging from land to condominium units, according to a statement from the firms.

Bobby Julien, Kolter chief executive, said the “present downturn” in the US residential market had “set the stage” for investment opportunities throughout the southeast region of the US – an area he said would continue to benefit from strong demographics. Steven Orbuch, president of Och-Ziff Real Estate, said the firm would target “capital constrained” land owners and homebuilders.

Earlier this month, Och-Ziff Capital Management announced it was partnering with Votorantim Financas, the finance arm of Brazil’s largest industrial group, to invest in Brazil’s commercial and residential markets. The pair reportedly plan to invest at least R$500 million ($308 million; €207 million) in real estate in the country.

New York-based Och-Ziff was founded in 1994 by Daniel Och, a former Goldman Sachs executive, along with the Ziff publishing family. It has approximately $33 billion under management. Its affiliate, Och-Ziff Real Estate Acquisitions, invests in real estate and real estate-related opportunities primarily in North America.