CanAm Enterprises (“CanAm”) is pleased to announce that its private equity affiliate, CanAm Capital Partners (“CACP”), in collaboration with the Philadelphia Industrial Development Corporation (“PIDC”), has closed its latest private equity real estate investment opportunity in Philadelphia. The $4.85 million in capital is being utilized to fund construction and other costs associated with the development and recapitalization of three assets in the center of Philadelphia. The assets consist of a ground-up retail and apartment building, a stabilized residential building and a value-add rental complex near two major universities, with total development costs of $35 million. The diversity of the three assets will help to maximize return potential and mitigate risks for investors.
The Philadelphia Industrial Development Corporation (“PIDC”) is a city-wide private-public economic development corporation with 60 years of experience in spurring investment, supporting business growth and fostering developments that energize Philadelphia’s economy.
“CanAm has partnered with PIDC in the EB-5 program for the past 18 years and raised nearly $700 million for Philadelphia-based EB-5 investments,” said Tom Rosenfeld, President and CEO of CanAm Enterprises. “We have been the industry pioneer in offering diversified investment options catering to our investors’ unique requirements and beyond,” added Rosenfeld.
MM Partners is a Philadelphia-based real estate development company with a successful track record of redeveloping urban infill sites and adaptive reuse of historical buildings in some of Philadelphia’s most vibrant neighborhoods. CACP’s previous investments with MMPartners includes The Civic, a mixed-use property in Philadelphia that funded in Q1 2019 and repaid in February 2020, yielding an absolute net return to investors of 30% as well as preferential opportunity zone tax treatment for eligible investors.
“Given our past success investing in partnership with MMP, we welcomed the opportunity to make an additional investment with them. We were able to structure a unique investment opportunity for CACP investors to benefit from significant value creation made to date and expect to realize very attractive risk-adjusted returns in the coming years.” said John Reid, Director at CanAm Capital Partners.
CACP’s investment strategy focuses on geographies and assets where CanAm has informational, operational and other competitive advantages. To date, CACP and its affiliates have invested capital in two multi-family development properties in Texas, a hotel expansion in the heart of Philadelphia, a Class-A rental development in the center of Philadelphia, and repositioning a creative office space in Atlanta, with combined asset values exceeding $335 million.
With three decades of experience promoting immigration-linked investments in the United States and Canada, CanAm has a long and established track record. Basing its business on a reputation of credibility and trust, CanAm has financed over 60 projects and raised $3 billion in EB-5 investment capital. Notably, $1.75+ billion has been repaid to more than 3,500 EB-5 investors from 45 CanAm projects to date. CanAm Financial Group operates its businesses through several divisions: CanAm Enterprises operates its primary EB-5 operations; CanAm Capital Partners is tasked with sourcing and evaluating all loans (primarily mezzanine loans) and private equity investments; CanAm Capital Management is its SEC-registered investment adviser; and CanAm Investor Services is the company’s FINRA-registered broker-dealer.
About CanAm Capital Partners
CanAm Capital Partners, LLC (“CACP”) is a New York-based private equity investor, manager and advisor with a primary focus on real estate principal investment. CACP is an affiliate of CanAm Enterprises, the largest EB-5 lender in the United States. CACP and its affiliates have been involved as a principal or lender in transactions with an aggregate transaction value in excess of $3 billion in multiple markets across the U.S. For more information, please visit www.canamcapital.com/cacp.