STAMFORD, Conn. - Land & Buildings Investment Management, LLC (L&B), a significant shareholder of Apartment Investment and Management Co. (NYSE: AIV), known as Aimco, has publicly commended the Aimco management and its board of directors for the recent $520 million sale of the Brickell Assemblage in Miami. This transaction is part of a series of asset disposals by Aimco, including the sale of interests at 3333 Biscayne Boulevard and The Hamilton for a gross price of $204 million.
Jonathan Litt, the Founder and Chief Investment Officer of L&B, expressed satisfaction with Aimco's performance, especially after the election of L&B's director nominee Jim Sullivan to Aimco's Board of Directors in December 2022. Litt praised the team's operational efficiency, investment decisions, and transparency with shareholders.
In light of these transactions, L&B is urging Aimco to expedite the strategic review process initiated over two years ago, suggesting that the sale of the entire company is the most viable option. Litt pointed out that Aimco's current scale and structure are not well-suited for the public markets.
The remaining Aimco portfolio, predominantly composed of stabilized multifamily assets in the Midwest and Northeast, is considered by L&B to be highly attractive to potential buyers. Factors such as low-rate assumable mortgage debt and a substantial value-add component add to the portfolio's appeal. L&B estimates the net asset value (NAV) of the remaining portfolio to be approximately $11.50 per share, indicating a potential 30% upside from the current share price. The estimate is largely in line with Green Street's, an independent public real estate research firm.
L&B anticipates a strong interest from buyers for all or parts of Aimco's portfolio and expects a transaction could be entered into by mid-2025. This statement is based on a press release issued by Land & Buildings Investment Management, LLC.
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