NEW YORK, Jan. 11, 2018 /PRNewswire/ -- Bluerock
Residential Growth REIT, Inc. (NYSE American: BRG) ("BRG" or the
"Company") announced today that it deployed approximately
$189 million of equity into
approximately $509 million of real
estate transactions during the fourth quarter of 2017. These
transactions are comprised of the acquisition of 1,646 units across
four properties, the origination of three development mezzanine
loans totaling 784 units, and the buyouts of minority ownership
interests in five assets totaling 1,377 units. The Company expects
its first full-quarter AFFO contribution from these assets in the
first quarter of 2018.
- The acquisitions include 1,042 units in Orlando, FL and 604 units across Greenville, SC and Birmingham, AL, and totaled approximately
$260 million of gross investment.
Year one cap rates for these new investments average 5.3% and are
projected to stabilize at approximately 6.5%.
- The three mezzanine loan investments include development
projects totaling 784 units and approximately $241 million in total development cost.
Each mezzanine loan will generate a current 15% annualized
return for BRG.
- As part of the BRG's efforts to simplify its structure, the
Company invested approximately $8
million to increase its ownership stake to 100% in each of
its Preston View, Wesley Village,
Arium Grandewood and Park & Kingston properties, and to 92% in
its Enders Place at Baldwin Park property.
"We are excited to deploy capital through a combination of
longstanding relationships and off-market transactions in key high
growth markets," stated Ramin
Kamfar, Chairman and CEO of BRG. "Our ability to make
accretive acquisitions of well-located assets in our target
knowledge-economy growth markets coupled with our value-add
business plan to enhance both amenities and unit interiors will
drive long-term shareholder value."
|
|
|
|
|
|
|
|
Asset
|
Market
|
Units
|
%
Owned
|
|
Total
Cost
($
MM's)
|
|
BRG
Equity
($
MM's)
|
Orlando
Portfolio
|
|
|
|
$
|
183
|
$
|
65
|
Arium Hunters
Creek
|
Orlando,
FL
|
532
|
100%
|
|
|
|
|
Arium MetroWest
|
Orlando,
FL
|
510
|
100%
|
|
|
|
|
|
|
|
|
|
|
|
|
Springs
Portfolio
|
|
|
|
|
77
|
|
31
|
Outlook at
Greystone
|
Birmingham,
AL
|
300
|
100%
|
|
|
|
|
The Mills
|
Greenville,
SC
|
304
|
100%
|
|
|
|
|
|
|
|
|
|
|
|
|
Flagler Village -
Mezzanine
|
Ft. Lauderdale,
FL
|
385
|
-
|
|
140
|
|
54
|
Crescent Perimeter -
Mezzanine
|
Atlanta,
GA
|
320
|
-
|
|
70
|
|
21
|
Vickers -
Mezzanine
|
Atlanta,
GA
|
79
|
-
|
|
31
|
|
10
|
|
|
|
|
|
|
|
|
Minority Interest
Buyouts
|
|
-
|
-
|
|
8
|
|
8
|
Total
|
|
2,430
|
|
$
|
509
|
$
|
189
|
Bluerock
Residential Growth REIT, Inc.
Bluerock Residential Growth REIT, Inc. (NYSEAmerican: BRG) is a
real estate investment trust that focuses on developing and
acquiring a diversified portfolio of institutional-quality highly
amenitized live/work/play apartment communities in demographically
attractive knowledge economy 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 Core+ improvements to properties and to operations.
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 the Company's 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 22, 2017, 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.