Ares Management Funds and TruAmerica Multifamily Acquire $236 Million Baltimore Apartment Portfolio
November 14 2016 - 6:30AM
Business Wire
Funds managed by Ares Management (NYSE:ARES) and investment
partner TruAmerica Multifamily announced today the acquisition of a
1,402-unit multifamily portfolio in suburban Baltimore, MD. for
$236 million.
The portfolio consists of residential units spread across six
properties located in some of the strongest multifamily sub-markets
in the greater Baltimore metropolitan market:
- Dominion at Eden Brook and Dominion
Kings Place in Columbia
- Lakeside Mill in Owings Mills
- Ellicott Grove in Ellicott City
- Arborview at Riverside & Liriope in
Belcamp
- Dominion Constant Friendship in
Abingdon
The properties are well-located near major military, government
and corporate employers in the area. While maintained to
institutional-quality standards, approximately 50 percent of the
units in the portfolio are slated to be renovated, offering a
significant value-add opportunity. The partnership will implement a
multi-million dollar renovation and repositioning program across
the entire portfolio. Exterior upgrades will consist of significant
landscaping, painting and refreshing of building exteriors, updated
signage and common area updates. The residential units will be
renovated to include new appliance packages, faux-wood hard-surface
flooring, new countertops and upgrades to existing cabinets.
“We have been looking to work with TruAmerica, an experienced
partner, for a long time and are excited we found this opportunity
to create significant value in an attractive portfolio of
geographically-diverse Baltimore metropolitan-area assets,”
commented Steven Wolf, Partner in Ares Management’s Real Estate
Group. “This investment is representative of our U.S. equity
value-add strategy, which focuses on areas with strong employment
centers and unit-enhancement opportunities.”
“This portfolio was brought to us as part of a strategic
marketing campaign, where only buyers with proven track records and
strong reputations were considered. Ares and TruAmerica proved to
be an unbeatable partnership of financial strength and certainty of
execution," said TruAmerica President and CEO Robert E. Hart.
The Ares Real Estate Group, with approximately $10.4 billion in
assets under management across equity and debt strategies, has a
significant presence in the multifamily sector. Over the past
decade, Ares’ U.S. equity value-add strategy has invested in over
27,000 units across its most recent funds.
This is the second significant investment for TruAmerica in the
region since entering the market five months ago with the $187
million acquisition of three apartment communities in Baltimore and
Annapolis totaling 1,004 units. With the acquisition of the
Baltimore Residential portfolio, TruAmerica now has more than
32,000 multifamily units under management with 2,400 in
Maryland.
About Ares Management, L.P.
Ares Management, L.P. is a publicly traded, leading global
alternative asset manager with approximately $97 billion of assets
under management as of September 30, 2016 and more than 15 offices
in the United States, Europe and Asia. Since its inception in 1997,
Ares has adhered to a disciplined investment philosophy that
focuses on delivering strong risk-adjusted investment returns
throughout market cycles. Ares believes each of its three distinct
but complementary investment groups in Credit, Private Equity and
Real Estate is a market leader based on assets under management and
investment performance. Ares was built upon the fundamental
principle that each group benefits from being part of the greater
whole. For more information, visit www.aresmgmt.com.
About TruAmerica Multifamily
TruAmerica Multifamily is a vertically-integrated, value-add
multifamily investment firm based in Los Angeles. Founded in July
2013 as a joint venture between Robert Hart and The Guardian Life
Insurance Company of America, TruAmerica has been one of the
country’s most active multifamily investors and manages a $6.6
billion portfolio of approximately 32,000 units across prime
locations throughout Northern and Southern California, Washington,
Oregon, Colorado, Arizona, Nevada, Utah and Maryland. For more
information on TruAmerica Multifamily, visit www.truamerica.com or
call (424) 325-2750.
Forward-Looking Statements
Statements included herein may constitute “forward-looking
statements” within the meaning of the Private Securities Litigation
Reform Act of 1995, which relate to future events or future
performance or financial condition. These statements are not
guarantees of future performance, condition or results and involve
a number of risks and uncertainties. Actual results may differ
materially from those in the forward-looking statements as a result
of a number of factors, including those described from time to time
in our filings with the Securities and Exchange Commission. Ares
Management, L.P. undertakes no duty to update any forward-looking
statements made herein. Nothing in this press release constitutes
an offer to sell or solicitation of an offer to buy any securities
of Ares or an investment fund managed by Ares or its
affiliates.
View source
version on businesswire.com: http://www.businesswire.com/news/home/20161114005220/en/
For Ares Management:Media:Mendel CommunicationsBill Mendel, +1
212-397-1030bill@mendelcommunications.comorInvestors:Ares
Management, L.P.Carl Drake, +1 800-340-6597cdrake@aresmgmt.comorFor
TruAmerica Multifamily:Media:DB&R Marketing Communications,
Inc.Bruce Beck, 805-777-7971Bruce@dbrpr.com
Ares Management (NYSE:ARES)
Historical Stock Chart
From Mar 2024 to Apr 2024
Ares Management (NYSE:ARES)
Historical Stock Chart
From Apr 2023 to Apr 2024