US property group Equity Residential has acquired $1bn (€915.8m) worth of apartment assets from Blackstone real estate funds.
NYSE-listed Equity Residential is acquiring the 11 properties in separate transactions from Blackstone strategies including the US open-ended Blackstone Real Estate Income Trust and Blackstone Property Partners funds and Blackstone Real Estate Partners.
The portfolio comprises four properties totaling 1,357 units in Atlanta, four properties with 1,237 units in Dallas-Fort Worth, and three properties with 978 units in Denver.
Alec Brackenridge, Equity Residential’s EVP and CIO, said: “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.
“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. We appreciate partnering with Blackstone on this mutually beneficial transaction and look forward to continuing to grow the relationship.”
Asim Hamid, senior MD at Blackstone Real Estate, said: “This transaction represents an excellent outcome for our investors and demonstrates the strong institutional demand for high quality assets.
“Rental housing remains one of our highest-conviction themes, and we continue to see strong fundamentals in attractive markets.”
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