Mid-America REIT Approaches $4B Deal
In another impending REIT deal, Mid-America Apartment Communities will soon finalize terms to acquire developer Post Properties for nearly $4B as the firm looks to capitalize on the rental property boom.
The deal would make Mid-America the largest publicly traded multifamily apartment REIT in terms of unit size, with a market cap of roughly $17B, Fortune reports.
According to the deal’s terms, Post Property shareholders will get 0.71 shares of MAA stock for each share they own, Bloomberg reports. Apartment managers are thriving right now, thanks to rising home prices forcing many Americans to keep renting at higher prices as homeownership moves out of reach.
Post Properties is valued at $3.3B and has grown 5.2% this year while MAA has a market value of $7.7B and has risen 12% for the year. [Bloomberg] [Fortune]