Apartment REITs face challenges as private investors value real estate higher than public markets. Some, like Centerspace, consider selling portfolios, while others like AIMCO opt to liquidate assets. Larger REITs hesitate to buy new properties due to pricing disparities after private market assets trade at sub-5% cap rates.

REITs, such as Equity Residential, lower acquisition and disposition guidance due to high private market asset values. CEO Mark Parrell highlights the stock’s value and limited acquisition activity. Despite obstacles, REITs like AvalonBay Communities acquire properties, such as Avalon at Palisades and Redmond Campus II, while selling others in Washington, D.C. and Brooklyn.

Camden Property Trust disposes of two operating communities in Houston and Dallas, citing their age and CapEx requirements. They reduce full-year guidance for acquisitions and dispositions. Essex Property Trust reports acquisitions in San Jose and dispositions in Oakland, Seattle, and Berkeley. Investors’ sentiment on Northern California apartments has shifted.

Equity Residential acquires a 375-unit property in Arlington, Texas, for approximately $103 million. CEO Mark Parrell mentions the deal’s lengthy process. In Q3, EQR sold 495 units in Boston and Arlington for $247.9 million. The properties averaged 30 years old and traded at a 5% cap rate. MAA closed on a 318-unit property in Kansas City for $96 million with a 5.8% NOI yield. They also acquired land in Phoenix for future development.

MAA faces challenges in acquisitions but closed deals in Kansas City and Phoenix. UDR enters an agreement to buy a 406-unit property in D.C. for $147 million. The property in Northern Virginia complements existing UDR assets and is expected to enhance portfolio-level cash flow.

Read more at Yahoo Finance: What the major apartment REITs bought and sold in Q3