Kinect Real Estate Partners Gresham OZ Fund

Kinect Gresham OZ Fund is a Qualified Opportunity Fund managed by Kinect Real Estate Partners, capitalizing a 305-unit Class A multifamily development currently under construction in Gresham, Oregon, a supply-constrained suburb of the Portland MSA. Kinect, through its affiliate partner American Capital Group (ACG), is developing the asset directly, drawing on a 39-year track record, more than $4 billion of project value built or acquired, and over 23,000 units delivered across 86 communities.

This is a basis-driven, execution-backed multifamily opportunity where the Opportunity Zone structure is intended to enhance, rather than define, the investment case. Project-level fundamentals include a targeted 6.4% untrended yield on cost (8.6% trended), a favorable land basis, an 80% vertical tax abatement over 10 years, and a transit-oriented infill site a half mile from Gresham Station MAX light rail, roughly 20 minutes to downtown Portland. ACG has developed and operated the immediately adjacent Columbia Trails property, now owned by Blackstone, for more than 20 years, providing direct submarket operating visibility that informs Kinect's underwriting and lease-up strategy.

Market timing supports the thesis. Construction costs sit at a five-year low, multifamily starts are down roughly 70% year over year, and Gresham currently has only 120 units under construction against 556 units of annual absorption. Kinect Gresham is positioned to deliver institutional-quality Class A product into an aged competitive set at expected Q2 2028 completion.

Sponsor alignment is meaningful, with a $14 million sponsor co-investment representing 35% of total equity, well above market convention. The ACG platform has raised more than $1.3 billion of institutional equity from partners including Blackstone, PGIM, Prudential, Canyon, Clarion, Artemis, and New York Life, and has delivered three prior OZ projects ahead of schedule and under budget.