ÌÇÐÄVlog

Southern California-based private capital firm completes Cleveland workforce housing exit four years ahead of schedule as Midwest markets outperform national averages

ORANGE COUNTY, Calif., May 5, 2026 /PRNewswire-ÌÇÐÄVlog/ -- Ocean Ridge Capital Partners ("Ocean Ridge"), a Southern California-based private capital firm investing across real assets and credit, announced the completion of its Cleveland Perpetual Income Fund, a workforce housing portfolio assembled during the pandemic. The fund delivered a 2.3x equity multiple and 22% annualized realized return to investors, more than doubling invested capital while exiting four years ahead of the original hold period.

The portfolio, composed of 20 affordable multifamily housing properties across Greater Cleveland, was built starting in 2020 at a time when institutional capital was overwhelmingly focused on high-growth markets. Ocean Ridge's thesis centered on three structural advantages most investors overlooked: a deep backlog of subsidized housing demand, government-backed rental income that exceeded prevailing market rates, and acquisition costs well below replacement value.

"Most investors were chasing rent growth in the fastest-growing Sunbelt cities," said Morgan Keim, Founder and Managing Partner of Ocean Ridge Capital Partners. "We focused on the opposite. Durable demand, predictable operating costs, and a cost basis low enough to protect capital from day one. The Midwest gave us all three."

Keim led the fund's strategy and portfolio management alongside Anthony Tabanji, who drove fund operations throughout the portfolio's lifecycle.

• Midwest Markets Emerge as National Leaders in Housing Performance

The fund's exit coincides with a notable shift in national real estate performance. According to , Cleveland ranked among the top three U.S. metros for home price appreciation in 2025, outperforming the national average in every quarter. The Cleveland metro area also ranked third nationally for cumulative rent growth since the pandemic, and first nationally for single-family rental increases, according to Zillow data published by Signal Cleveland.

described the current housing landscape as an "affordability economy," noting that more than half of the 53 largest U.S. housing markets posted price declines through early 2026, with gains concentrated in Midwest metros including Cleveland, Kansas City, and Pittsburgh.

"The narrative five years ago was that growth markets were the only place to be," Keim said. "The data now shows that supply-disciplined markets with strong underlying demand have delivered more consistent results for investors. Cleveland's construction pipeline remains well below the national average, which continues to support both occupancy and rent growth."

• Early Exit Reflects Disciplined Capital Management

Ocean Ridge elected to exit the fund ahead of schedule after identifying shifting conditions in the local operating environment. Rather than extending the hold to continue collecting management fees, the firm chose to return capital to investors at realized gains.

"We exited because the conditions that made this portfolio attractive were evolving," Keim said. "Holding through deteriorating margins to preserve fee income is not alignment. Selling into strength and returning capital is."

The firm is currently expanding its investment activity across mobile home parks and private credit, building on the same thesis of durable cash flow in supply-constrained markets.

• About Ocean Ridge Capital Partners

Ocean Ridge Capital Partners is a private capital firm based in Orange County, California. The firm operates and allocates capital across workforce housing equity, mobile home parks, and private credit, serving founders, executives, and family offices seeking durable cash flow backed by real estate and hard assets. The firm's investment approach prioritizes supply-constrained markets, below-replacement-cost entry points, and conservative debt structures.

For more information about Ocean Ridge Capital Partners and its investment approach, visit .

• Forward-Looking Statements

This release contains forward-looking statements based on current expectations, assumptions, and estimates. These statements involve risks and uncertainties that could cause actual results to differ materially from those anticipated. Risks include, but are not limited to, changes in market conditions, regulatory challenges, tenant demand, and operational execution. Ocean Ridge Capital Partners assumes no obligation to update or revise forward-looking statements, except as required by law.

• Performance Disclaimer

Past performance, including the returns referenced in this release, does not guarantee future results. All investments carry inherent risks, and investors should carefully evaluate their financial circumstances before investing.

Media Contact

Morgan Keim, Ocean Ridge Capital Partners, 1 9493862390, [email protected],

SOURCE Ocean Ridge Capital Partners