CLP expands multifamily, shutters office space

The rental boom continues, quietly off everybody’s radar…

BIRMINGHAM, Ala.–(BUSINESS WIRE)– Colonial Properties Trust (NYSE: CLP – News), continued its multifamily focused growth strategy with the acquisition of Colonial Grand at Hebron (formerly Waterford Place), a 312-unit Class A apartment community in Dallas, Texas, for $34.1 million. The company funded the purchase with $23.9 million in proceeds from the sale of Colonial Center Town Park 400, an office asset located in Orlando, Florida, and borrowings on the company’s unsecured credit facility.

Colonial Grand at Hebron is a new multifamily development that was completed earlier this year, and is in lease up with 66% of the units leased upon acquisition. Colonial Center Town Park 400, a 176,000-square-foot Class A office building completed in 2008, was 24% occupied upon disposition.

“The continued execution of our multifamily focused growth strategy has helped us unlock the capital from an underperforming office asset in exchange for a new multifamily asset at an attractive value,” noted Thomas H. Lowder, Chairman and Chief Executive Officer.