New York-based Related Companies has closed on an acquisition of 7,837 affordable housing units across 51 properties. The seller was Denver-based Aimco. The acquisition of properties in 16 states includes Hunters Point communities in San Francisco, Calif., four affordable garden-style properties totaling 604 units.
Related Affordable, Related Companies’ affordable housing division, announced in April its intention to acquire $590 million for Aimco’s Asset Management portfolio and affordable real estate properties.
Related Affordable develops, acquires and preserves affordable housing in a variety of geographically, economically and socially diverse properties nationwide. Related owns and operates a portfolio of more than 45,000 affordable and workforce housing units.
Closed in 90 days
“The Aimco portfolio was an ideal fit with our four decades of experience in acquisition, rehabilitation and long-term preservation, and when we became aware that there was an opportunity to acquire these assets, we immediately jumped at the chance,” Matthew Finkle, president of Related Affordable, told MHN.
“A large portfolio like this is complicated and requires many approvals from housing agencies, lenders and others in order to get closed. Related is an expert in working with the various constituent parties and obtaining their approvals in a timely fashion.
According to Finkle, Related collaborated closely with all parties involved. “As a result, we were able to close this deal in only 90 days from the time we signed the purchase contract,” he said.
Finkle added that Related “is proud of its nearly half-century commitment to affordable housing and building strong communities through public-private partnerships. Related continues to be focused on financially and operationally supporting the long term preservation of affordable housing portfolios at scale.
“We have preserved tens of thousands of affordable housing units across the country and have never converted a single unit to market rate—a legacy we plan to continue as we work with other property owners and managers, like Aimco, to provide long-term affordable housing options to the thousands of Americans who call our properties home.”