DENVER -- (Business Wire)
Apartment Investment and Management Company (“Aimco”) (NYSE: AIV) today
announced that it has acquired the Bent Tree apartment community in
Fairfax County, VA for $160 million, resulting in an expected $0.01 per
share increase to Adjusted Funds From Operations in the first 12 months
of ownership.
Bent Tree, a property with 748 apartment homes, is located in suburban
Fairfax County near two other Aimco communities with 1,000 apartment
homes. Bent Tree has average rents of approximately $1,500 per unit,
making this a “B” quality community, with the potential for greater than
market rate revenue growth through in unit capital enhancements.
“We are pleased to add Bent Tree to the Aimco portfolio, increasing our
exposure to the attractive Fairfax County submarket,” said Aimco
Chairman/CEO Terry Considine. “Located within commuting distance of
downtown D.C. and just minutes from Dulles International Airport, Bent
Tree offers residents convenient access to employment while also
providing comfortable homes and onsite amenities that support their
suburban lifestyle.”
Consistent with its paired trade discipline, Aimco plans to sell an
equivalent value of apartment communities with lower expected free cash
flow internal rates of return (“FCF IRR”) and lower rental growth
prospects. Although the specific communities to be sold will depend on
pricing, Aimco expects the FCF IRR of Bent Tree to exceed by at least
300 bps the FCF IRR of the properties sold to fund the acquisition.
The acquisition was funded with bank borrowings pending the expected
third quarter sales to complete the paired trade funding.
About Aimco
Aimco is a real estate investment trust focused on the ownership and
management of quality apartment communities located in select markets in
the United States. Aimco is one of the country’s largest owners and
operators of apartments, with ownership interests in 180 communities in
22 states and the District of Columbia. Aimco common shares are traded
on the New York Stock Exchange under the ticker symbol AIV, and are
included in the S&P 500. For more information about Aimco, please visit
our website at www.aimco.com.
View source version on businesswire.com: http://www.businesswire.com/news/home/20180222006657/en/
Contacts:
Apartment Investment and Management Company
Investor
Relations
Lynn Stanfield, 303-793-4661
Sr. Vice President,
Finance
Investor@aimco.com
Source: Apartment Investment and Management Company
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