Related Companies has acquired 7,837 affordable housing units from AIMCO. The apartments span 51 properties in 16 states. The affordable housing division of the firm, Related Affordable, entered into an agreement to purchase AIMCO’s asset management portfolio and four affordable communities for $590 million.
This transaction will bring to an end AIMCO’s affordable housing business, which was formed back in 2011. Related will preserve the 51 communities as affordable and will begin its rehabilitation plan upon the deal’s slated completion in the third quarter of 2018.
“Since our very founding, Related has had a keen focus on the acquisition and preservation of affordable housing. We had closely followed Aimco, and when the opportunity arose to acquire, preserve and rehabilitate this portfolio, it was a natural fit,” Matthew Finkle, president of Related Affordable, told Multi-Housing News. “The lack of affordable housing options continues to be a challenge for many communities throughout the country. Developing new affordable housing has always been a challenge, and we continue to believe that one of the most important ways to address the need is to ensure the preservation of the affordable housing stock that already exists.”
Last August, both the Related Cos. and AIMCO were named on MHN‘s list of the Top 10 Apartment Owners in Chicago.
Image courtesy of Related Cos.