Cypress Equity Investments, LWK Partners and Sabal Investment Holdings Complete $30 million Transaction to Acquire 75-unit Los Angeles Workforce Housing Portfolio and Develop 52 Additional Units

This post was published on Jan 7, 2026 on morningstar.com

LOS ANGELES, Jan. 7, 2026 /PRNewswire/ — Cypress Equity Investments (“CEI”), an institutional multifamily developer and real estate investment company, LWK Partners (“LWK”), a real estate private equity firm focused on the acquisition and operation of attainable value-add multifamily assets, and Sabal Investment Holdings (“Sabal”), an institutional real estate private equity fund manager, have acquired a 75-unit workforce housing portfolio in Los Angeles with plans to develop 52 additional units across the properties. The $30 million transaction is the first under a newly formed programmatic joint venture between CEI, LWK, and Sabal to pursue workforce housing density addition opportunities throughout Greater Los Angeles.

The strategy addresses the growing Los Angeles housing shortage by capitalizing on a recent state law that allows investors to add net new units to existing multifamily assets. The programmatic investment from Sabal accelerates the growth of LWK-CEI’s aggregation strategy, allowing the platform to capitalize on opportunities at a larger scale.

“Our partnership with Sabal marks another important step in advancing our workforce housing density addition strategy,” said Michael Sorochinsky, Founder and CEO of Cypress Equity Investments. “By streamlining capital access and execution, we’re able to accelerate the delivery of high-quality, attainable housing in supply-constrained markets like Los Angeles, meeting a critical need for working families and local communities.”

“Working alongside Cypress Equity Investments and LWK Partners allows us to capitalize on policy-driven workforce housing opportunities in a way that is both scalable and impactful,” said Drake Ayres, Managing Director at Sabal. “Together, we’re driving accretive growth from stabilized assets, expanding density, and unlocking meaningful housing supply in markets where it’s needed most.”

“We expect this transaction to be the first of many. Our thesis is that economies of scale in a fragmented, high-barrier-to-entry, and highly regulated market give us a unique competitive advantage,” said Austin Nissly, Co-Founder and Partner of LWK Partners.

About Cypress Equity Investments (CEI)
CEI is a national real estate developer and investor with a focus on multifamily and self-storage assets. Since 2001, CEI has purchased, developed, and invested in more than 156 projects, amassing a portfolio and pipeline exceeding 21,000 multifamily units and select commercial projects valued at over $13 billion.

CEI’s platform spans five active investment verticals: affordable housing, self-storage, multifamily acquisitions, co-GP partnerships, and market-rate development. Its strategy centers on delivering institutional-quality housing and storage projects across high-growth U.S. markets through disciplined market research, entitlement execution, construction management, and asset performance. For more information, visit www.cypressequity.com

About LWK Partners (LWK)
LWK Partners is a Los Angeles based private equity firm focused on the acquisition and operation of value-add multifamily assets in Los Angeles. LWK targets undermanaged assets with multiple levers to create value through operational improvements, value-add renovations, and opportunities to add density via new unit development in supply constrained communities. As of Q4 2025, LWK has acquired 32 buildings and 400+ multifamily units, representing over $125mm in GAV acquired, with an additional 150+ multifamily units in development. For more information, explore www.lwkpartners.com.

About Sabal Investment Holdings (Sabal)
Sabal Investment Holdings (“Sabal”) identifies, underwrites, structures and closes commercial real estate investment opportunities throughout the capital stack. Sabal’s funds are organized in three series: the Debt Opportunities Fund series; the Strategic Opportunities Fund series; and the Lending Solutions program, and its institutional investors include pension funds, endowments, foundations, insurance companies, and hospitals. For more information regarding Sabal, visit www.sabal.com.