Affiliates of Harbor Group International, LLC (“HGI”), a privately owned international real estate investment and management firm, announced a joint venture with The Garrett Companies and Telis Group to fund the $630.5 million recapitalization of an 11-asset multifamily development portfolio.
The portfolio spans 2,192 units across four states, with eight properties in Colorado, one property in Minnesota, one property in Indiana and one property in Arizona. Development of the properties began from 2021 to 2023, with the portfolio now approximately 75% complete, allowing for an expedited timeline of delivery and stabilization compared to a standard development project.
“This recapitalization was a multi-step effort that required extensive negotiations, meticulous planning and alignment across multiple financial institutions and markets. The successful outcome is a testament to our team’s deep expertise in managing complex transactions,” said Yisroel Berg, Chief Investment Officer – Multifamily at HGI. “Through this recapitalization, we have exposure to a broad range of high-growth markets as well as strong development partners in The Garrett Companies and Telis Group as we execute a project of this scale to provide more housing across the U.S.”
“This partnership presents an exciting opportunity to leverage our expertise in multifamily development across a wide array of markets across the nation. With a deep understanding of local fundamentals and evolving trends, we are positioned to deliver high-quality, sustainable projects that meet the growing demand for housing,” said Eric Garrett, CEO of The Garrett Companies.
Mo Beler, Co-Head of Walker and Dunlop‘s Structured Finance Group, and Aaron Appel, Co-Head of the NYC Capital Markets practice, facilitated the transaction. Carly Saviano, Partner and Co-Chair of Willkie’s Real Estate Department provided counsel.
“This complex recapitalization highlights the strength of institutional investment in quality multifamily developments,” said Beler. “By uniting sophisticated sponsors such as HGI, The Garrett Companies, Telis Group and other lending partners, we closed the transaction swiftly, reflecting strong demand for well-located assets in growth markets despite challenging capital conditions.”
This transaction marks Harbor Group’s first multifamily investment of 2025. The firm concluded 2024 having invested $909 million across 25 multifamily communities.
Harbor Group International, LLC, and its affiliates control an investment portfolio of approximately $20 billion, including 57,000 apartment units in the United States and 5.0 million square feet of commercial space throughout the United States and the United Kingdom. In addition to its corporate headquarters in Norfolk, Virginia, HGI maintains offices in New York, Baltimore, Los Angeles, and Tel Aviv.
The Garrett Companies a full-service Multifamily Development, Construction, and Management team. Their team of experts works in unison to entitle, develop, build, and manage multifamily projects across the country. They are currently active in 6 states and have completed over 60 projects in 17 states. After delivering over 18,000 apartment homes since 2014, they have become industry leaders in forecasting trends and delivering living options that find quick success in the marketplace. Their proprietary market research criteria paired with a disciplined business model reduces risk and allows the creation of desirable, high-end multifamily housing that produces superior risk-adjusted returns. As a complement to high-end multifamily developments, they also specialize in mixed-use, retail, and office.
Telis Group is a Fort Worth, Texas based real estate private equity manager co-founded by RD Khoury, Keller Reese, and Eric Garrett, specializing in providing capital solutions for multifamily developers and operators with a focus in Sun Belt and Mountain West markets.
