Home

Today, The Shidler Group is one of the nation’s most active investors in Land underlying multifamily communities on 99-year Ground Leases. The Land, often referred to as Leased Fee interests, fulfills the passive investment objectives of The Shidler Group’s managing partners and supports the long-term philanthropic activities of Jay Shidler and The Shidler Family Foundation.

The Group will acquire a Leased Fee interest directly from a third-party investor who retains ownership of the multifamily complex on a long-term Ground Lease. More often, the Group creates new Leased Fee interests by purchasing multifamily communities and separating the ownership of the Land from the ownership of the Improvements. The resulting complexes, on new 99-year Ground Leases, are then purchased by third-party multifamily investors.

The process of separating ownership of the Land from the ownership of the Improvements is often referred to as Bifurcation. Through Bifurcation, The Shidler Group isolates the passive Leased Fee interests in the Land, with their more conservative yields, and allows the more active multifamily owner/operators to harvest the higher entrepreneurial returns.