Starwood to buy Milestone Apartments REIT in $2.9b deal
An affiliate of Starwood Capital Group has agreed to buy Milestone Apartments REIT, a Canadian REIT that invested in U.S. apartment properties, for $2.85 billion.
Starwood will acquire all of Milestone’s subsidiaries and assets, including more than 24,000 U.S. apartment units. Starwood agreed to pay Milestone unitholders $16.15 per unit in cash, which works out to approximately $120,000 per apartment unit.
The sale is expected to be completed early in the second quarter.
Milestone focused exclusively on owning and operating U.S. apartment properties. The firm owns 78 multifamily properties with 24,061 apartment units located in 16 markets throughout the southeast and southwest United States, two regions Starwood has targeted for multifamily investment and where it already owns approximately 67,000 units.
Milestone has a high concentration of apartments in Dallas, where it owns 19 apartment properties, and Houston, where it owns 14. It a