NEW YORK, April 6, 2017 /PRNewswire/ -- Bluerock
Residential Growth REIT, Inc. (NYSE MKT: BRG) ("BRG", the "REIT" or
"the Company") announced today that it has acquired the 301-unit,
Class-A multifamily Wesley Village Apartments ("Wesley Village") in
Charlotte, North Carolina. The
REIT acquired the property for a total purchase price of
approximately $56.85 million, or
roughly $189,000 per residential
unit.
The Company will implement a $2
million renovation program to upgrade units and common
spaces, and projects the acquisition will yield a pro-forma
stabilized cap rate of 6.0%.
BRG purchased the property with an investment of $16.5 million, financing the remainder with a
fixed rate loan of $40.5 million from
Freddie Mac.
Wesley Village is in the heart of a vibrant urban submarket but
offers residents the ample floorplans and surface parking typical
of residences found in lower density, suburban locations. Built in
2010, the property features studio, one- two- and three-bedroom
units averaging a generous 1,025 square feet, a resort-style
saltwater pool with grilling area and wet bar, fitness center, game
room with billiards table, business center with Wi-Fi, and a dog
park.
The property is situated just one mile from the thriving Uptown
CBD, fewer than seven miles from the Charlotte airport and directly within the
expanding and sought-after FreeMoreWest submarket. FreeMoreWest has
sustained a robust population growth of more than 10% since 2010,
while the greater Charlotte metro
area, fueled by an influx of new firms to the area, has added more
than 30,000 jobs over the past year.
"The Wesley Village Apartments property is squarely in the path
of growth for Bluerock. We were able to purchase the property at a
very favorable cost basis and, with implementation of value-added
improvements and management efficiencies, we are confident that
Wesley Village will be a strong performer for the REIT as well as a
highly-competitive player in its market," said Ramin
Kamfar, Chairman and CEO of BRG.
About Bluerock Residential Growth REIT, Inc.
Bluerock
Residential Growth REIT, Inc. (NYSE MKT: BRG) is a real estate
investment trust that focuses on acquiring a diversified portfolio
of Class A institutional-quality apartment properties in
demographically attractive growth markets to appeal to the renter
by choice. The Company's objective is to generate value through
off-market/relationship-based transactions and, at the asset level,
through improvements to operations and properties. BRG generally
invests with strategic regional partners, including some of the
best-regarded, private owner-operators in the United States, making it possible to
operate as a local sharpshooter in each of its markets while
enhancing off-market sourcing capabilities. The Company is included
in the Russell 2000 and Russell 3000 Indexes. BRG has elected to be
taxed as a real estate investment trust (REIT) for U.S. federal
income tax purposes. For more information, please visit our website
at: www.bluerockresidential.com.
Forward Looking Statements
This press release contains
forward-looking statements within the meaning of the Private
Securities Litigation Reform Act of 1995 and other federal
securities laws. These forward-looking statements are based upon
the Company's present expectations, but these statements are not
guaranteed to occur. Furthermore, the Company disclaims any
obligation to publicly update or revise any forward-looking
statement to reflect changes in underlying assumptions or factors,
of new information, data or methods, future events or other
changes. Investors should not place undue reliance upon
forward-looking statements. For further discussion of the factors
that could affect outcomes, please refer to the risk factors set
forth in Item 1A of the Company's Annual Report on Form 10-K filed
by the Company with the U.S. Securities and Exchange Commission
("SEC") on February 24, 2016, and
subsequent filings by the Company with the SEC. We claim the safe
harbor protection for forward looking statements contained in the
Private Securities Litigation Reform Act of 1995.
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SOURCE Bluerock Residential Growth REIT, Inc.