Baltimore Business Journal: Bozzuto, Pritzker Realty Form $75M Joint Venture
July 27, 2010
The Bozzuto Group is teaming with Pritzker Realty Group on a new $75 million investment fund to develop and buy apartment complexes, primarily in the Baltimore-Washington region.
Bozzuto Group CEO Tom Bozzuto said the joint venture already has six target development opportunities in Baltimore, Washington and in between, on its radar, but he wouldn’t disclose specific locations. The investment fund will also seek opportunities in the Northeast.
“We think the future of the apartment business is better today than it’s probably been at any point in the last 30 years,” Bozzuto said in an interview Tuesday. “The population of young people who will want to rent when they come into the work force we see growing significantly over the next few years.”Bozzuto said the company’s focus is on transit-oriented, urban locations, much like its Fitzgerald project at the University of Baltimore.
Chicago-based Pritzker Realty is led by Penny Pritzker, daughter of Hyatt Hotels co-founder Donald Pritzker.Last fall, Bozzuto said his company sought to raise an apartment investment fund and found the Pritzkers were also seeking to make investments in the industry.
“The timing was perfect,” Bozzuto said. Bozzuto declined to disclose the break down of much his company invested and how much Pritzker Realty invested.