Mass.-based real estate investment trust (REIT),
Winthrop Realty Trust
) inked a binding purchase deal to acquire 4 recently built Class
A luxury apartment assets - 44 Monroe, Highgrove, Mosaic II and
San Pedro Lofts - for about $246 million. The move was in line
with the company's strategy of buying high quality condo
constructed multifamily assets.
44 Monroe is a 34-story residential property (184 units) in
Arizona, Phoenix and Highgrove is an 18-story residential
building (92 units) in Stamford, Conn. Moreover, Mosaic II
is a 29-story residential property (396 units) in Houston, Texas
and San Pedro Lofts comprises 2 distinct residential buildings
(89 units) in San Pedro, Calif.
Winthrop expects the acquisition of these properties to close
around September to October this year, subject to customary
closing conditions. For buying the assets, the company provided a
non-refundable deposit worth $25.5 million. The balance amount is
anticipated to stem from a mix of available cash and new secured
Notably, Winthrop is focused on riding the growth trajectory
by capitalizing on opportunistic investments and the current deal
is a part of such efforts. We expect the above-mentioned
accretive acquisitions to enhance its portfolio quality and drive
Winthrop Realty engages in the ownership and management of
real estate and real estate-related financial instruments such as
CMBS, bonds, REIT preferred and common stock. The company carries
a short-term Zacks Rank #1 (Strong Buy).
A number of other REITs that are also performing well include
EastGroup Properties Inc.
Highwoods Properties Inc.
Douglas Emmett Inc.
). All these stocks carry a Zacks Rank #2 (Buy).
FFO, a widely used metric to gauge the performance of REITs,
is obtained after adding depreciation and amortization and other
non-cash expenses to net income.
DOUGLAS EMMETT (DEI): Free Stock Analysis
EASTGROUP PPTYS (EGP): Free Stock Analysis
WINTHROP REALTY (FUR): Free Stock Analysis
HIGHWOODS PPTYS (HIW): Free Stock Analysis
To read this article on Zacks.com click here.