PHILADELPHIA--(BUSINESS WIRE)--Independence Realty Trust, Inc. (NYSE: IRT) (“IRT”) (the “Company”) today announced the completion of its previously disclosed capital recycling program, and the closing of the remaining three properties in the nine-community portfolio acquisition announced in September 2017.
- On November 28, 2017, IRT completed the final disposition of four Class C communities held for sale, totaling 1,306 units. By fully executing on its Class C capital recycling plan, IRT now solely owns and operates Class B and Class A properties. The four dispositions totaled $86.8 million, and IRT expects to recognize a total gain of approximately $19.2 million, including $3.2 million from the sale of the final community in the fourth quarter of 2017.
- On January 3, 2018, IRT completed the acquisition of the nine-community portfolio, initially announced on September 5, 2017. The first of the three remaining communities closed on December 12, 2017, with the last two communities closing on January 3, 2018. These three communities represent 1,004 units in total. IRT assumed $58.5 million of property level debt in association with these acquisitions. This portfolio capitalizes on IRT’s presence in core markets such as Columbus, OH, Indianapolis, IN, and Atlanta, GA.
“The completion of these transactions reinforces IRT’s approach to opportunistic and accretive portfolio transformation initiatives,” said Scott Schaeffer, Chairman and CEO of IRT. “IRT recycled almost $87 million of capital in 2017, and upgraded our portfolio with high-quality, middle-market communities located in our core markets. Furthermore, IRT completed a nine-community portfolio acquisition that aligns with our existing portfolio, unlocking economies of scale in integral markets. Looking forward, we plan to continue to evaluate our portfolio for opportunities to recycle capital while working to optimize our presence in core and target markets.”
About Independence Realty Trust, Inc.
Independence Realty Trust (NYSE: IRT) is a real estate investment trust that owns and operates 54 multifamily apartment properties, totaling 14,733 units, across non-gateway U.S. markets, including Atlanta, Louisville, Memphis, and Raleigh. IRT’s investment strategy is focused on gaining scale within key amenity rich submarkets that offer good school districts, high-quality retail and major employment centers. IRT aims to provide stockholders attractive risk-adjusted returns through diligent portfolio management, strong operational performance, and a consistent return of capital through distributions and capital appreciation.
Forward-Looking Statements
This press release may contain certain forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Such forward-looking statements can generally be identified by our use of forward-looking terminology such as “will,” “strategy,” “expects,” “seeks,” “believes,” “potential,” or other similar words. Because such statements include risks, uncertainties and contingencies, actual results may differ materially from the expectations, intentions, beliefs, plans or predictions of the future expressed or implied by such forward-looking statements. These forward-looking statements are based upon the current beliefs and expectations of IRT’s management and are inherently subject to significant business, economic and competitive uncertainties and contingencies, many of which are difficult to predict and generally not within IRT’s control. In addition, these forward-looking statements are subject to assumptions with respect to future business strategies and decisions that are subject to change. These risks, uncertainties and contingencies include, but are not limited to, those disclosed in IRT’s filings with the Securities and Exchange Commission. IRT undertakes no obligation to update these forward-looking statements to reflect events or circumstances after the date hereof or to reflect the occurrence of unanticipated events, except as may be required by law.
