YUGE $750 Million Multi-Unit Apartments Buys + New Initiatives To Invest in Seniors Housing/Medical Properties

Blackstone Group LP's Blackstone Real Estate Partners, the world's largest real estate investment firm, is purchasing a 16-property apartment portfolio in the U.S. from affiliates of Bridge Investment Group Partners. The total price for the transaction, including transactions three of the properties still pending closing, has been reported at $750 million. [Viletta location in Mesa]

News of the deal was first reported by IPE Real Estate and picked up by SNL, an affiliate of S&P Global Market Intelligence.
Twelve properties, totaling 4,024 units, sold, per public record, for a total price of $553.375 million, or an average of approximately $138,000 per unit across the portfolio, with prices ranging from $75,355 per unit for the 352-unit Viletta in Mesa, Arizona, to $252,842 per unit for the 264-unit Presidio at Rancho Del Oro in San Diego.

 

In addition to these properties, there are also properties owned under contract and expected to close by the end of November, including the 496 unit Redlands in San Bernardino and the Ellicot’s Crossing and Pinnacle Grove apartment complex in Phoenix.
The acquisition was financed with a combination of new Fannie Mae debt and assumed Fannie Mae loans on several of the properties in Washington.
ROC II, a closed-end private equity fund managed by Bridge Investment Group Partners, was the seller.

Earlier this month, Bridge Investment Group Partners in conjunction with its subsidiary, ROC Seniors Housing Fund Manager, announced the launch of a new initiative to invest in selected seniors housing and medical properties assets.
ROC Seniors will focus primarily on independent living, assisted living, and memory care investments in markets with favorable long-term demographics and a demonstrated need for the quality services provided by ROC Seniors and its partner managers.
“We continue to source attractive value-add opportunities in the fragmented seniors housing sector that fit well with our strategy of modernization, technological updating and the implementation of state of the art, caring service and accommodation for our growing US senior citizen population,” said Phil Anderson, CIO of ROC Seniors.

For more information, see CoStar Sale Comp ID: 3725544

Source: CoStar Group News Article