National Property Management Firm Shifts To Outsourcing

Strategic Shift for Security Properties

Seattle-based Security Properties is moving out of direct property management, transferring its entire national multifamily portfolio to third-party operators. Bisnow says that the company oversees 22,000 apartments across 110 properties, valued collectively at more than $6B.

Bozzuto Group, a Maryland firm managing over 100,000 units nationwide, will become Security Properties’ main manager for the Pacific Northwest, taking control of around 9,000 units in the region.

Operational Changes and Employee Impact

The transition will see roughly 400 on-site employees and a third of Security Properties’ corporate workforce joining Bozzuto. For assets outside Bozzuto’s scope, Security Properties will select managers through a request-for-proposals process.

The shift is not a monetary transaction but a strategic move. It allows Security Properties to focus on acquisitions, affordable housing, and investment management. This approach aligns with broader market repositioning trends, including investors targeting older multifamily properties for value-add strategies.

Expanding National Reach

This realignment marks Bozzuto’s largest expansion in the Pacific Northwest. It gives the company a strong entry into Oregon. It also expands its Seattle presence beyond five managed properties. President and CEO Toby Bozzuto pointed to a strong strategic partnership. He also emphasized a clear growth vision in the region.

Security Properties continues to expand its holdings, acquiring $700M in multifamily assets last year while positioning itself as an investment-focused firm. The company’s move to national property management outsourcing reflects broader trends in the multifamily sector, emphasizing operational efficiency and growth potential.