“This transaction represents an excellent outcome for our investors and demonstrates the strong institutional demand for high-quality assets,” senior managing director Asim Hamid said in Blackstone’s media release. “Rental housing remains one of our highest-conviction themes, and we continue to see strong fundamentals in attractive markets. We’re pleased to have worked with EQR on this transaction, who will be an excellent steward of these properties going forward.”
The properties, averaging eight years old, are seen as an attractive opportunity to expand Equity Residential’s footprint in high-growth markets and add to its portfolio of high-end rental properties.
“We are pleased to add these high-quality, well-located properties to our growing portfolios in Atlanta, Dallas/Ft. Worth and Denver at pricing that is attractive compared to replacement costs,” said Alec Brackenridge, executive vice president and chief investment officer of Equity Residential. “This transaction is a significant step in our goal of generating a higher percentage of our annual net operating income from these strong growth expansion markets.”
Read next: Blackstone acquires apartment REIT for $10 billion
The portfolio sale also comes as Equity Residential reaffirms its previously issued earnings guidance for the second quarter of 2024. The company said the transaction will not impact its previously announced financial projections.
Source: mpamag.com