Apartment Income REIT announced two joint ventures with two major real estate investors to recapitalize 11 properties valued at $1.2 billion. AIR will receive $600 million in proceeds consisting of cash and debt relief as well as asset and property management fees that are expected to contribute $2.5 million in annual margin. 

When the transactions are completed, AIR's total indebtedness to its earnings before interest, taxes, depreciation and amortization or EBITDA, will be less than 6:1, which will provide capacity for gradual acquisitions. AIR's portfolio currently consists of 75 communities with close to 26,000 apartment homes in 10 states and the District of Columbia.

The first joint venture will give AIR a 53% ownership interest in the partnership and the global institutional investor a 47% stake. The portfolio consists of 10 AIR properties with 3,093 units with monthly revenue averaging $2,457 and located in Philadelphia, Denver, San Diego, South Florida and Washington, D.C.