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
PayPal has agreed to buy Xoom, a digital money transfer provider, for $890 million in cash. Following the announcement, Xoom shares jumped 22 percent in after-hours trade on the Nasdaq. Discount retailer Family Dollar Stores Inc., which is being acquired by rival Dollar Tree Inc., said Wednesday after the markets closed that its third quarter profit fell slightly from last year, due mainly to a higher effective tax rate. The company's quarterly earnings per share, excluding items, also came in below analysts' expectations. Diplomatic ties have been restored, so Cuba will surely see an influx of massive cruise ships and curious Americans.
comments powered by Disqus
RELATED NEWS
Trade EQR now with 
Follow RTT