Harbor Group International, a private real estate investment and management firm, has agreed to acquire a portfolio of five multifamily properties in New England for $740 million. The purchase agreement, announced this week, involves properties currently owned by Apartment Investment and Management Company, or Aimco, a publicly traded REIT. The transaction is expected to close in the third or fourth quarter of 2025.
The collection of properties is situated around the greater Boston metropolitan region, spanning Massachusetts, New Hampshire and Rhode Island. These suburban locations are considered to have strong demographic fundamentals, supporting persistent demand for rental housing. The combined portfolio comprises 2,719 units, with occupancy rates approaching 96% as of July 2025 and a historical average of 97% since 2022, indicating resilient demand in the region.
Built between 1970 and 1974, the properties feature updated interiors, including stainless steel appliances and hardwood floors, along with amenities such as swimming pools, fitness centers, clubhouses and community green spaces. HGI has indicated it will embark on a value-add program, targeting renovations and upgrades across the portfolio while employing active asset management to improve both resident experience and operating performance.
The move is expected further to establish HGI’s presence in the Boston area and expand its ownership footprint in the suburban multifamily sector. Affiliates of the company already manage nearly 1,000 units across four properties in the Boston market and have previously owned and sold over 3,100 units in Massachusetts alone.
With this acquisition, HGI will have completed around $2.2 billion in multifamily acquisitions in 2025 to date. The firm’s overall portfolio includes approximately 62,000 apartment units in the United States, as well as commercial space assets in the U.S. and the United Kingdom.
For Aimco, the sale is part of a larger $1.26 billion asset disposition strategy in 2025 that also includes a pending sale of significant holdings in Miami. The Boston-area sale enables the company to redirect capital, with most proceeds earmarked for shareholder distributions. Following the completion of these transactions, Aimco will retain a concentration of properties in the Chicago and Washington, D.C. metropolitan areas with an expected annual net operating income of $90 million by the end of 2026. The REIT has presented this repositioning as part of a broader strategy to focus on newer, higher-rent properties.
The transaction takes place as the U.S. multifamily investment landscape grapples with cooling deal flow. According to a recent report by MSCI Real Assets, nationwide apartment sales volume fell 14% year-over-year in the second quarter of 2025, reaching $35.1 billion. Portfolio-level and entity-level trades declined more sharply, dropping 23% in May alone.
Analysts note that the decline follows an unusually high level of transactions last year, which was driven in part by Blackstone’s $10 billion acquisition of Apartment Income REIT Corp. The absence of similarly large deals in 2025 has contributed to lower aggregate transaction volumes.
Despite the broader slowdown, individual asset sales have remained resilient as large-scale trades like HGI’s acquisition of the Aimco portfolio are apparent outliers in an otherwise cautious market.
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