CHICAGO-Equity Residential is considering putting its 27,390-unit Lexford division on the market. JPMorgan has been hired to assist the multifamily REIT in a possible sale of the 299 properties in 10 states, representing about 14% of the multifamily REIT's portfolio.
The division is the remaining portfolio acquired from Lexford Residential Trust in 1999, primarily a collection of properties built in the 1980s targeted to value-hunting renters looking to forego a high level of amenities. Equity Residential paid $733 million to acquire the REIT and its 36,609 units. More than 60% of those units were located in Florida, Georgia and Ohio, A sale could include a property management office in Columbus, OH, which was Lexford Residential Trust's headquarters.
"There is currently tremendous demand for large multifamily portfolios, particularly those that include an operating platform," says president and chief executive officer David J. Neithercut. "Our Lexford division should generate a great deal of investor interest and a very attractive price for our shareholders."
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