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AvalonBay Sells 80% Stake in Five Manhattan Properties
AvalonBay Communities (AVB) has reportedly entered into a joint venture with an institutional client of Invesco Real Estate, selling an 80% stake in five Manhattan apartment communities. Totaling 1,301 apartments, the portfolio is valued at about $760 million.
Under terms of the JV, AVB will contribute its fee ownership of Avalon Morningside Park (pictured), Avalon Bowery Place I and Avalon Bowery Place II, as well as its leasehold interest in Avalon West Chelsea and AVA High Line. The apartment REIT will retain a 20% interest and act as the managing member and property manager for the assets.
“This transaction brings us closer to achieving our long-term geographic portfolio allocation goals, and allows us to maintain our brand and operating presence in Manhattan, while monetizing a significant portion of our investment in these assets,” said Matt Birenbaum, AVB’s CIO. The company expects net proceeds of approximately $460 million.
For comments, questions or concerns, please contact Paul Bubny
- ◦Sale/Acquisition
