Pacific and Hanover Merge to Form Pacific Urban Investors

Multifamily owner-operator and investment manager Pacific Urban Residential (PUR) and multifamily private equity investor Hanover Real Estate Investors announced a merger between the two firms. The combined company is to be named Pacific Urban Investors LLC and will be headquartered in Palo Alto, CA with six regional offices in Los Angeles, Irvine, Seattle, Denver, New York and Washington, DC.

Founded in 1998, PUR is exclusively focused on multifamily strategies, investing significant partner capital alongside institutional strategic partners. Today, PUR owns and manages 13,000 apartment homes valued at $5 billion. Since 1998, the firm has acquired more than $7 billion in multifamily communities.

Hanover, founded in 2013, began with a strategy of providing both LP and GP capital to local and regional developers and operators. Since inception, the firm has been involved in 40 investments with a total cost of more than $1 billion. Today, along with its joint venture partners, it owns, manages or develops more than 2,000 apartment homes valued at $800 million.

The combined company will continue its exclusive multifamily focus and disciplined investment strategies via acquisition of apartment communities and by providing joint venture equity, preferred equity and other structured finance solutions to select developers and operators. Alex Yarmolinsky, former CEO of Hanover, is continuing as Pacific’s president of the structured finance group. Ash Baraghoush and David White, Hanover’s principals, are now Pacific’s managing directors of structured finance.

“We reaffirm our commitment to build a best-in-class multifamily investment manager for the benefit of our customer residents, investors and talented professionals,” says Al Pace, vice chairman and CEO of Pacific. “Pacific Urban Investors will continue our geographic and strategic expansion to enhance our participation in the multifamily sector.”