Tricon Residential announced it has entered into an agreement to sell its remaining 20 per cent interest in 23 U.S. apartment buildings in the Sun Belt district for approximately $315 million. The interest is being acquired by a vertically integrated residential real estate investment and property management company, which will assume all asset and property management responsibilities moving forward.

Tricon Residential says it intends to use the net sale proceeds to repay outstanding debt on its corporate credit facility, enhancing its balance sheet flexibility and enabling it to pursue future growth in its core single-family rental business.

“The sale of our U.S. multifamily business marks a significant step in our quest to simplify our business and focus our balance sheet exposure primarily on single-family rental, where we continue to see strong demand and growth opportunities,” said Gary Berman, President & CEO of Tricon Residential. “Our investment in this portfolio has generated an attractive IRR of over 20 per cent to Tricon since inception, inclusive of fees, and helps validate the difference between private and public market valuations in today’s economic environment.”

“To the dedicated employees that have made our U.S. multifamily business a success: I want to thank you all for your hard work and for consistently going above and beyond to elevate our resident experience,” Bergman added. “We expect the vast majority of onsite property management staff to remain in their roles after a smooth transition to the new owner of the portfolio – a respected operator that shares our principles and commitment to putting the needs of our employees and residents first.”

For more information, visit www.triconresidential.com