English Edition of Eva Besselmann’s article for Markt & Mittelstand (September 2025)

International Family Offices as Key to Addressing the U.S. Housing Crisis

In light of the U.S. housing emergency, family offices are emerging as bridge builders — with foreign investments playing an active role in alleviating the crisis.

The United States faces a historic challenge: the housing shortage has worsened so significantly in recent years that the government now refers to it as a national emergency. Experts estimate a deficit of around four million housing units, particularly in the affordable segment. The consequences are far-reaching — rising rents, social tensions, and economic risks for entire regions.

International Family Offices

Federal and state-level political initiatives — such as incentives for multifamily housing or reforms in zoning and permitting — are important steps. Yet they reach their limits, since public funding alone cannot cover the enormous capital needs. This brings one often overlooked group of investors into focus: international family offices.

Family offices, the private wealth management structures of affluent families, oversee assets worth billions. In recent years, they have shifted strategies: moving away from purely return-driven investments toward impact-oriented strategies that combine social relevance with long-term stability. The U.S. housing crisis offers a particularly meaningful field for this type of capital.

The Growing Role of Private Wealth Management

“Global capital is flowing into U.S. real estate from family offices and affluent investors alike. According to UBS, 43% of billionaires plan to increase their exposure, with North America seen as the top destination. Affordable housing is emerging as the sector where stability and impact meet,” emphasizes Abbas Hashmi, former Goldman Sachs executive and Director of the Family Enterprises and Wealth Program at Columbia Business School. His assessment highlights the growing role of private wealth managers in addressing society’s most pressing challenges.

The Co-GP Investment Model

One particularly promising structure is the so-called co-GP investment. In this model, family offices do not act solely as capital providers but also take an active role in project management. For local developers, this means access to much-needed equity, greater planning security, and the ability to accelerate project delivery. For family offices, it provides direct influence over project quality and orientation.

The advantages for the United States are clear:

• Additional financing sources for projects that would hardly be feasible without private capital

• Diversification of the capital base, strengthening market resilience

• Acceleration of sustainable and innovative building concepts

• Tangible relief for public budgets

Conclusion

It is clear that international family offices are no longer a niche topic in real estate financing. They are increasingly becoming strategic partners that could play a decisive role in addressing the U.S. housing crisis. At the same time, their engagement requires special framework conditions. Trust, long-term planning security, and clear structures are essential to ensure international investors are willing to commit substantial capital to the U.S. market.

The housing crisis in the United States is an economic issue and a matter of national significance. International family offices have both the means and the willingness to assume a decisive role. Political recognition of the crisis as a national emergency may be the very signal needed to bring these investors more firmly to the table.

Markt & Mittelstand (September 2025), Eva Besselmann - International Real Estate, Legacy & ESG Advisory