June 30, 2021
A Letter from Trez Capital’s Chairman & CEO
The pandemic has accelerated trends that were already on the rise across Canada and the United States for many years. The main trend is the shift from urban and downtown living to more rural destinations and work-from-home offices. Additionally, we have seen that migration to Florida and Texas over the past 18 months has created the lowest supply of rental units and unprecedented housing demand.
Expansion and Growth
During this time, our team at Trez Capital has been growing and expanding our core offerings to allow investors to participate in a diversified pool of real estate developments. Much of our business is with repeat borrowers, who value the flexibility and consistency in our execution, which will continue through the pandemic reopening stages and beyond.
Through our eight offices, Trez Capital has established an institutional-quality underwriting platform that sources and evaluates high-quality opportunities across real estate asset classes by applying a rigorous, risk-managed process, including joint venture equity financings. Our due diligence has ensured secure investments and returns throughout our 24-year history.
A Track Record of Development Stage Projects
In 2015, leveraging off of a robust lending platform, we identified the opportunity for a short-term Build-to-Sell investment strategy that would result in strong returns for Canadian investors. Since then, Trez Capital has successfully closed five private real estate equity funds (Trez Opportunity Funds I through V).
For many years, Trez Capital has had access to development stage projects with impressive IRRs through an asset class that is typically uncorrelated and less volatile than equities. The projects in this equity investment program have focused on multi-family, single-family for rent, self-storage and industrial asset classes in thriving markets in Canada and the U.S.
Historically, the managed equity investment program has been offered on an exclusive basis to institutions and accredited investors. Due to a growing interest for retail investors to have access to projects at the ground level, this fall, we are opening our equity investment management services to qualified investors. This offering will give Canadian investors the chance to participate in compelling real estate projects with carefully chosen development partners in high-demand areas with a focus in the southern U.S.
Introducing Trez Capital’s Build-to-Hold Fund
Trez Capital Private Real Estate Fund (TPREF) is a unique offering, and one of Canada’s first evergreen development real estate funds for investors that allows for increased exposure to ground-up development and long-term asset management (ground-up development through to income producing), normally unavailable without substantially higher minimum investments.
As investors navigate the real estate markets in both Canada and the U.S., this Build-to-Hold strategy allows investors access that they have been asking the market for.
Since 2015, Trez Capital has helped build over 80,000 homes across North America and we continue to look for opportunities in markets with a growing population, a higher-than-average GDP and job growth. Throughout market changes, the one thing that has stayed constant over the last 24-years is how we deliver results to investors and borrowers.
We look forward to the future with you as investors in our new Build-to-Hold investment fund, the Trez Capital Private Real Estate Fund (TPREF).
Chairman and Chief Executive Officer
To read the full Investment Update - Trez Capital Investment Update — Second Quarter 2021
About Trez Capital
Founded in 1997, Trez Capital is a diversified real estate investment firm and preeminent provider of commercial real estate debt financing solutions in Canada and the United States. Trez offers private and institutional investors strategies to invest in a variety of opportunistic, fully secured mortgage investment funds, and provides property developers and owners with quick approvals on flexible short- to mid-term financing.
With offices in Vancouver, Toronto, Montreal, Dallas, Palm Beach, Atlanta, Los Angeles and New York, Trez Capital has over $3.9* billion in assets under management and has funded over 1,500 transactions totaling more than $13 billion since inception.
*Corporate Group AUM includes assets held by all Trez related entities as well as $2.7 B Manager AUM (Trez Capital Fund Management Limited Partnership).