Tricon Residential, a rental housing company catering to the middle-market demographic throughout the United States and Canada, has reached an agreement in principle to enter into a joint-venture arrangement with two institutional investors to invest in Tricon’s wholly owned portfolio of 23 U.S. multifamily apartments. Under the joint venture, the investors will acquire a combined 80 percent interest in the existing portfolio, with Tricon retaining a 20 percent interest. The transaction reflects a total portfolio value of $1.331 billion including in-place debt, which is in line with the portfolio’s fair value reflected on Tricon’s balance sheet as of Dec. 31, 2020.
In addition to the announced joint venture, Tricon and the investors are in discussions to form a separate growth-oriented joint venture to acquire additional multifamily properties in the U.S. Sun Belt, adding scale and diversification to Tricon’s portfolio.
Tricon intends to use the $425 million of
