The Michaels Organization announced an investment of more than $500 million in the company’s U.S. Army privatized housing portfolio. The largest reinvestment in Michael’s history since it became a Department of Defense (DOD) housing partner in 2004 will be funded by existing project reinvestment funds and through an innovative $305 million bond issuance.
These capital investments are made possible through the Military Housing Privatization Initiative (MHPI), which enabled private companies like Michaels to secure critical funding to continuously improve privatized military housing portfolios.
Michaels’ development plan will improve military family housing communities at seven U.S. Army installations, including Fort Belvoir, Fort Leavenworth, Fort Moore, Fort Irwin, Fort Huachuca, Presidio of Monterey, and Yuma Proving Ground. At the installations, Michaels will construct new homes, rehabilitate historic homes, and undertake substantial interior and exterior renovations of existing homes. Michaels is also planning to significantly invest in new infrastructure and amenities to enhance quality of life for service members and their families.
“We consider it an incredible privilege to house heroes and serve their families,” said Michaels’ Chief Executive Officer John J. O’Donnell. “We thank the U.S. Department of Defense for their continued trust in us as well as our partners at Stifel, whose expertise was critical to the success of our bond issuance. We know that providing excellent housing is important to our service members’ quality of life, as well as essential to the military’s recruitment and retention efforts,” O’Donnell said.
Michaels’ five-year development plan will begin implementation this summer and will include work at all installations concurrently.