National Equity Fund acquires 32 St. Louis properties with over $200M in equity
National Equity Fund (NEF) announced on July 22 the acquisition of 32 properties and a fund management portfolio from St. Louis Equity Fund Inc. (SLEFI). The portfolio, comprising nearly 2,000 affordable homes across 13 funds in the St. Louis region, represents over $200 million in equity. The deal expands NEF's Midwest footprint and aims to stabilize critical housing for low-income residents, seniors, and people with disabilities.
National Equity Fund (NEF), a nonprofit multifamily affordable housing investment manager, has expanded its Midwest footprint through the acquisition of 32 properties and a fund management portfolio from St. Louis Equity Fund Inc. (SLEFI), according to a July 22 press release.
The portfolio, which spans 13 funds and is located throughout the St. Louis metropolitan region, includes nearly 2,000 affordable homes and represents over $200 million in equity. The properties serve a diverse resident population, including low-income individuals and families, seniors, and people with disabilities.
The acquisition enables NEF to establish a significant presence in the St. Louis area, a market where it previously had limited share. “The St. Louis metropolitan area is a region in which we have not traditionally had a large market share,” said Matt Reilein, NEF President and CEO, in the release. “Expanding our geographic footprint helps strengthen partnerships and builds dynamic, new relationships that will ultimately allow us to evolve our investment platform.”
NEF stated that the acquisition will safeguard investors and sponsors in the region despite market volatility and the nation's intensifying affordable housing shortage. The firm did not respond to questions from Multifamily Dive by press time.
SLEFI, founded in 1988 to syndicate low-income housing tax credits (LIHTC), has raised more than $500 million through 155 partnerships, helping create more than 5,000 homes in Missouri and Illinois. The organization had been seeking ways to stabilize its portfolio in recent years.
“After playing a vital role in the affordable housing industry for nearly four decades, our Board reviewed our mission and affirmed our highest priority is to support quality housing of vulnerable St. Louisans,” said Jill Nowak, President and CEO of St. Louis Equity Fund, in the release. “The Board determined that a partnership with an organization with greater capacity would be necessary to meet that mission, and NEF's interest in our property portfolio was enthusiastically embraced.”
The St. Louis acquisition continues NEF's growth momentum. Earlier this year, NEF announced $1.95 billion in LIHTC equity, surpassing its previous high set in 2024. Since its founding in 1987, NEF has facilitated nearly $30 billion in production, representing approximately 274,000 new or preserved affordable homes.
In May, NEF acquired National Affordable Housing Trust’s (NAHT) portfolio of more than 165 properties, encompassing 15,000 affordable homes nationwide, across 29 funds and NAHT’s fund management portfolio.
NEF is not the only affordable housing player making significant deals recently. In December 2024, New York City-headquartered Hudson Valley Property Group acquired a 22-property portfolio comprising 4,768 units across the western United States from Spokane, Washington-based Inland Group. In November 2024, Standard Communities, based in New York City and Los Angeles, acquired a 100% affordable housing portfolio of over 6,000 apartment homes in more than 60 communities across four states. That portfolio, valued at over $1 billion, marked Standard's entry into Arizona, Colorado, and Texas, while expanding its California portfolio to nearly 11,000 apartments.
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