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DENVER - Apartment Investment and Management Company (NYSE:AIV), currently trading near its 52-week high with a market capitalization of $1.33 billion, has entered into a definitive agreement to sell five apartment properties in suburban Boston for $740 million to an affiliate of Harbor Group International, LLC, according to a press release statement. InvestingPro analysis indicates the company’s stock is trading above its Fair Value, suggesting strategic timing for this asset sale.
The portfolio comprises 2,719 units, and the buyer has completed due diligence with a $20 million non-refundable deposit. Four of the five properties are expected to close during the third quarter of 2025, with the final property closing anticipated in the fourth quarter. This transaction comes as Aimco maintains a current ratio of 1.69, indicating sufficient liquidity to meet short-term obligations.
Additionally, Aimco remains under contract to sell its Brickell Assemblage in Miami, which includes The Yacht Club Apartments and an adjacent office building, for $520 million. The buyer has exercised its final closing extension option and increased its non-refundable deposit to $50 million, with closing scheduled for the fourth quarter of 2025.
Combined gross proceeds from both transactions are expected to reach $1.26 billion, with net proceeds of approximately $785 million after accounting for property-level debt and deferred tax liabilities.
Following these sales, Aimco’s remaining portfolio will consist of 18 apartment communities with 3,457 units, primarily concentrated in suburban Chicago and the Washington, D.C. Metro Area. The company plans to distribute the majority of net proceeds to shareholders after the transactions close. With a high debt-to-equity ratio of 10.99, this move could significantly improve the company’s financial position. InvestingPro subscribers can access 10 additional key insights about Aimco’s financial health and growth prospects.
Aimco is working with Morgan Stanley & Co. LLC as its financial advisor to explore additional strategic transactions, which may include further asset sales or a potential sale or merger of the company.
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