October 2, 2012 – NEW YORK, NY
The Cogsville Group, LLC, (“TCG”) a private equity firm with a primary focus on distressed real estate, today announced the acquisition of 94 Chicago-area single family properties offered by Fannie Mae as part of the Federal Housing Finance Agency’s REO Initiative. The portfolio was part of a pilot sale of single family REO property in eight metropolitan areas across six states.
“Our acquisition of these Chicago assets is a natural outgrowth of The Cogsville Group’s successful public-private investments in commercial real estate. This pilot sale is an opportunity to reinvest in our country’s housing stock, give families options in a challenging economic climate and provide economic returns for our investors,” said Donald Cogsville, CEO of The Cogsville Group.
“With the shifting fundamentals in the housing markets, single family residential is fast becoming an important asset class and we believe our experience and knowledge of local dynamics will benefit us in achieving economies of scale in Chicago and other markets across the country.”
Through its first investment fund, Cogsville Capital Partners Fund I, L.P., TCG has been one of the largest acquirers of distressed assets from the Federal government – participating in $3 billion of transactions with the FDIC in 2010 and 2011. This portfolio is well diversified across asset classes and is collateralized by 3,900 loans in 49 states.
Going forward, The Cogsville Group is committed to single family housing and the implementation of an institutional, rental-based asset class in continued partnership with federal agencies. The firm will initially target further acquisitions in metropolitan areas characterized by a strong and consistent rental market.