Three Resource REITs Merge to Create $3 Billion REIT
Resource Real Estate Opportunity REIT Inc., Resource Real Estate Opportunity REIT II Inc., and Resource Apartment REIT III Inc., three affiliated non-traded real estate investment trusts, have merged to create a $3 billion self-managed REIT.
Resource Real Estate Opportunity REIT Inc., Resource Real Estate Opportunity REIT II Inc., and Resource Apartment REIT III Inc., three affiliated non-traded real estate investment trusts, have merged to create a $3 billion self-managed REIT named Resource REIT Inc.
“This has been a long, difficult and unrelenting past year for the country and for those around the world,” said Alan Feldman, chairman and chief executive officer of Resource. “At Resource, our team has been laser focused on operating our assets expertly throughout the pandemic and simultaneously working towards the successful completion of the mergers.”
As previously reported, Resource REIT II acquired Resource REIT I and Resource REIT III in separate stock-for-stock transactions. Following the acquisition of its external advisor on September 8, 2020, Resource REIT I announced its intent to become self-advised and self-managed. As part of the same transaction, Resource REIT I also acquired the external advisors of Resource REIT II and Resource REIT III and advised and managed the REITs until the mergers were completed.
The combined company owns 51 suburban apartment communities across 15 states as of December 31, 2020.
Resource Real Estate Opportunity REIT launched in June 2010 and raised $645.8 million in investor equity prior to closing in December 2013.
Resource Real Estate Opportunity REIT II’s primary offering launched in February 2014, closed in February 2016 and raised roughly $645 million in investor equity.
Resource Apartment REIT III’s offering was declared effective in April 2016 and raised roughly $111.4 million in investor equity. The offering closed in October 2019.
