David Singelyn, CEO of American Homes 4 Rent (NYSE: AMH), participated in a video interview in conjunction with Nareit’s REITweek: Virtual Investor Conference (being held June 2-4).
American Homes 4 Rent’s internal development program is revolutionizing the single family rental home industry, Singelyn said, and the REIT’s recent joint venture with J.P. Morgan Asset Management is an “endorsement of our strategy.”
The joint venture agreement was signed in February and was recently upsized to more than $625 million, Singelyn explained. The goal is to develop 2,500 purpose-built single family rental homes across 15 markets in the West and Southeast, including 34 single family homes around Las Vegas.
Singelyn noted that the company’s portfolio diversification across 35 markets, coupled with the recession-resiliency of single family home rentals, positions it for growth. All markets are doing well, he said, and no single market represents more than 10% of the portfolio.
Meanwhile, Singelyn said demand for high-quality single family rental homes is strong and “actually is surpassing our expectations.” He noted that the uptick reflects demand for alternative housing options, especially as people choose to escape high-density living.