logo
Share SHARE
FONT-SIZE Plus   Neg

Equity Residential To Sell 27 Properties For $1.5 Bln

Equity Residential (EQR) Monday said it has agreed to sell 27 properties to a joint venture of Goldman, Sachs & Co. (GS) and Greystar Real Estate Partners LLC for $1.5 billion.

The transaction values the 27 properties at about $187,000 per apartment unit. Equity Residential has granted the buyer the right to exclude up to 8 percent of the assets from their purchase, but are obligated to purchase not less than $1.38 billion of assets.

David Neithercut, Equity Residential's chief executive officer, "With this transaction we will have made significant progress selling assets in our exit markets and non-core assets in primary markets to fund our share of the acquisition of Archstone."

The joint venture has agreed to buy a total of 8,010 units located at Washington, northern New Jersey, Florida, Phoenix, Denver, southern California and San Francisco bay areas.

Last November, Equity Residential had agreed to buy 60 percent of apartment owner Archstone Enterprise LP from Lehman Brothers Holdings Inc. in a cash and stock deal worth $6.5 billion. AvalonBay Communities, Inc. (AVB) is acquiring the rest 40 percent.

Equity Residential had said it would fund a substantial portion of the acquisition with proceeds from asset sales.

EQR is currently trading at $57.36, up $0.13 or 0.23%, on the NYSE.

by RTT Staff Writer

For comments and feedback: editorial@rttnews.com

Business News

Editors Pick
Walt Disney Co. (DIS) is reportedly in talks to buy a stake in Major League Baseball Advanced Media. According to LA Times, citing people with knowledge of the matter, Disney is seeking to acquire one-third interest in the MLB.com, which develops and manages the league's digital products. The deal... Postal Savings Bank of China, one of the biggest banks in China, seeks to raise about $8 billion in an initial public offering, which could be the biggest IPO of the year. Postal Savings Bank of China plans to list its stock in the Hong Kong stock exchange. According to reports, the Postal Savings... Sporting goods retailer Dick's Sporting Goods, Inc. has emerged as the successful bidder in the bankruptcy auction for its former rival Sports Authority Holding Inc.'s intellectual property assets and the right to acquire 31 store leases.
comments powered by Disqus
Follow RTT