Malcolm Johnson, managing director of Langdon Park Capital, spent his birthday at his company’s Baldwin Village multi-family asset on Aug. 27, hosting a back-to-school event, handing out free sneakers, backpacks and school supplies to children who live on the property. .
The event encapsulated Johnson’s mission with Langdon Park Capital, a black-owned real estate investment firm committed to addressing the unmet demand for high-quality workforce housing in the underserved black and Latino communities.
“We really approach our investment with the community first and foremost,” Johnson said.
Langdon Park Capital has seen growth and earlier this month announced the $48.6 million acquisition of a 138-unit multifamily property in West Covina.
Dean Zander and Stew Weston of CBRE Group Inc. represented the vendors on the Atrium at West Covina property, which will be renamed Langdon Park at West Covina. It is located in a predominantly Latin American community in which the annual median family income is nearly 25% lower than the metropolitan area average of $80,000.
Langdon Park plans to allocate more than $3 million for capital improvements and upgrades to the property’s interior units.
The acquisition of West Covina marked the company’s fourth purchase this year, bringing assets under management to more than $148 million. It follows two previous Langdon investments in Los Angeles, as well as an investment earlier this year in Washington, D.C.
“This latest acquisition underscores Langdon Park Capital’s mission to support the teacher, hospital worker and firefighter who are bearing the brunt of rent hikes across the country and risk being evicted from the communities where they have lived for years.” , Raymond said. Junior, head of residential acquisitions at Langdon Park Capital. “We look forward to working closely with our community partners to create a safe, affordable and thriving residential community, while delivering strong returns for investors. »
“Preserving workforce housing in Black and Latino communities has never been more important, especially as families are impacted by continued volatility amid rising interest rates. , rising inflation and limited housing supply,” Johnson added. “Langdon Park Capital’s cultural competency in Southern California markets like West Covina, coupled with the rich, lived professional experiences of our leadership team, positions us to create a strong residential community that offers more than just a place to life to our tenants. Langdon Park Capital’s asset management team will be involved in every way here.
Whether it’s a Langdon property in South Los Angeles, Hollywood, Washington DC, including suburban Maryland and Northern Virginia or – soon – Oakland, Johnson said his acquisitions are preserving affordable housing for a certain demographic stratum.
“These are families earning too much to qualify for housing assistance, but in many cases, due to the high cost of living, they also don’t have the funds to buy a single-family home, they are therefore tenants by necessity. , Johnson said.
The amenities Langdon adds to its multi-family properties are aimed at enhancing the community, not just the apartments themselves.
“A high-quality residential neighborhood is one that feels like a neighborhood first and foremost,” Johnson said. “We don’t put bars on our windows.
Langdon Park also provides social services directly to families who live on its properties. The company partners with Esusu Financial Inc., a minority-owned fintech platform that helps residents of its properties build stronger credit histories and achieve financial stability.
“On a voluntary basis, tenants can register and have their monthly rent payments reported to the three major credit bureaus,” Johnson said. “What you are seeing is an increase in the credit ratings of the families who live in our building. This increase in credit scores means they have access to market-rate credit to do things like start a business, buy a car, send a child to college, and pay off market-rate student loan debt. .
Additionally, Langdon utilizes the services of local public schools and health centers to meet the unique needs of community residents.
Strategic partners Kennedy Wilson and Eldridge Industries continue to support Langdon with capital and resources.
“They’re willing to look at returns and see beyond the financial aspect of investing,” Johnson said. “What else is happening in the community to make it better?”
Johnson, who was born and raised in Washington, DC, said a commitment to the community is important.
His business is named after the Langdon Park Recreation Center, which played a crucial role in his upbringing. Johnson attended the University of Notre Dame on a football scholarship and played NFL football for two seasons with the Pittsburgh Steelers and New York Jets before going into real estate.
Now, he has a few things he takes into consideration when considering possible acquisitions.
“These are all places with access to freeways and lots of institutions of higher education, large employment centers but also large concentrations of blacks and Latinos,” Johnson said. “We generally try to buy larger assets where we can have real scale in a submarket.”
In addition to the West Covina purchase, Langdon purchased a 304-unit apartment building in suburban Washington D.C. for $63 million and a 177-unit apartment complex in Hollywood for $36.9 million. Langdon renamed the latter as Langdon Park at Hollywood Studios.
The Hollywood asset of Langdon Park is located in a predominantly Latino area, while Langdon Park in Baldwin Village is in a predominantly black and Latino neighborhood.
“The real opportunity lies in pursuing often overlooked neighborhoods with little institutional investment,” Johnson said.