NexMetro Launches $25M Fund Targeting Stabilized BTR Portfolio
NexMetro Communities has launched a $25 million participating preferred equity fund giving accredited investors access to a portfolio of stabilized Avilla Homes build-to-rent, or BTR, communities of detached, single-story rental homes with private yards, the company said Wednesday, marking its first vehicle built around already-performing assets rather than ground-up development.
The NexMetro Strategic Asset Fund, LLC targets a $25 million capital raise, a two-year investment horizon, an 8% annualized participating preferred return paid quarterly, and a projected 17% net internal rate of return, according to the company. NexMetro said the structure is designed to pair near-term income with what it described as the appreciation potential of the BTR sector.
“The NexMetro Strategic Asset Fund gives investors a disciplined way to access stabilized, income-producing Avilla communities located in high-growth submarkets at what the company believes is a compelling point in the multifamily market cycle,” said Ryan Krafczik, vice president of equity investments at NexMetro. “By targeting assets that are already performing – rather than development-stage projects – the fund is designed to deliver near-term income with the long-term appreciation characteristics that have defined the build-to-rent sector’s strong fundamentals.”
Krafczik also pointed to the broader market backdrop. “After an extended period of elevated new supply, the market is entering a phase where stabilized, income-producing assets like Avilla communities are exceptionally well-positioned,” he said. “We believe this is a compelling moment to deploy capital into a stabilized BTR portfolio as the market begins to absorb the historic supply.”
The latest fund is part of a broader NexMetro investment platform spanning the BTR life cycle, from ground-up development strategies to private credit, the company said. Its offerings are now available to advisers through Fidelity, Schwab, and the iCapital Marketplace.
The sponsor introduced Direct Access Fund 2026, a $100 million vehicle targeting newly developed Avilla communities, in February, and made it available through iCapital. Where DAF 2026 is aimed at ground-up projects still in development and lease-up, the Strategic Asset Fund targets communities that have already stabilized – giving NexMetro investment products across both ends of the build-to-rent life cycle.
Established in 2012, NexMetro is a national, vertically integrated BTR developer and investment sponsor that has focused exclusively on developing and operating Avilla Homes communities, according to the company. NexMetro has projects in Sunbelt submarkets including Phoenix, Dallas, Denver, Atlanta, Austin, and Tampa, with more than 60 neighborhoods completed and underway.
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