Equity Residential (EQR) to Sell Real Estate Portfolio in $1.5B Deal with Goldman, Greystar (GS)
- Top 10 News for 10/20 - 10/24: Apple Ramps on Results; Loeb Eyes Amgen; Advanced Technologies Exits Sapphire Game
- Procter & Gamble (PG) Reports In-Line Q1 EPS; To Spin-Off Duracell
- Dallas Ebola Nurse Nina Pham now cured - NIH Says
- Ford Motor (F) Tops Q3 EPS by 5c
- SodaStream (SODA) Confirms 'Small-Scale' PepsiCo (PEP) Test
Equity Residential (NYSE: EQR) announced that the company has entered into an agreement to sell a portfolio of assets to a joint venture of the Real Estate Principal Investment Area of Goldman, Sachs & Co. (NYSE: GS) and Greystar Real Estate Partners LLC for $1.5 billion. The transaction values the 27 properties at approximately $187,000 per apartment unit and a capitalization rate in the mid to high 5% range. Per the agreement, Equity Residential has granted the buyer the right to exclude up to 8% of the value of these assets from their purchase. As a result, Goldman Sachs and Greystar have the contractual right to acquire all of the assets for $1.5 billion but are obligated to purchase not less than $1.38 billion of assets. The buyers have deposited $150 million in escrow and have waived their due diligence contingency. The transaction is expected to be completed in two separate closings, both of which will occur in the first quarter of 2013.
Serious News for Serious Traders! Try StreetInsider.com Premium Free!
You May Also Be Interested In
- Trinity Industries (TRN) Subsidiary to Stop Shipments of ET-Plus System
- Education Management (EDMC) Plans Voluntary Delisting from Nasdaq GS
- CBD Energy (CBDE) Slammed; Reports Certain Financial Statements Should Not be Relied Upon
Create E-mail Alert Related CategoriesCorporate News, Hot Corp. News, Hot M&A, Market Check
Sign up for StreetInsider Free!
Receive full access to all new and archived articles, unlimited portfolio tracking, e-mail alerts, custom newswires and RSS feeds - and more!