Lone Star Funds to buy Home Properties for $7.6 billionStaff writer ▼ |
Acquisition A 3.4 percent premium to the Home Properties close
Lone Star Funds said it had agreed to buy real estate investment trust Home Properties for about $7.6 billion, including debt.
The deal will give Lone Star an additional 121 communities with 41,917 apartment units and is the company's second large apartment purchase since it bought a 64-property, 20,439-unit portfolio for $1.8 billion in 2014.
Home Properties will also sell up to six properties valued at $908 million to UDR Inc, a Highlands Ranch, Colorado-based REIT, in a separate transaction.
The Lone Star bid comes with a "go shop" provision, under which Home Properties can solicit alternative proposals from third parties in the next 30 days.
Home Properties will become a private company after the deal closes at the end of the year, the REIT said. ■
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