Federated Hermes, Inc. has agreed to acquire an 80% stake in FCP Fund Manager, L.P., enhancing its presence in the U.S. multifamily real estate market.

Target Information

Federated Hermes, Inc., a leading global player in active investing, has entered into a definitive agreement to acquire an 80% stake in FCP Fund Manager, L.P. (FCP), a privately held real estate investment manager based in Chevy Chase, Maryland. This acquisition represents a significant advancement in Federated Hermes' strategy to expand its footprint in the U.S. real estate sector, highlighting an increased emphasis on private markets and alternative investments.

FCP is focused on investments within the multifamily asset class across the United States, employing both equity and debt strategies to deploy capital. Since its establishment, the firm has managed investments totaling over $14.6 billion in gross asset value, which includes managing over 75,000 multifamily apartment units.

Industry Overview

The U.S. real estate market, particularly in the multifamily sector, is currently experiencing robust growth driven by several favorable market conditions. Urbanization trends and a growing population have resulted in inc