Madison International Realty acquired 5.5% of the outstanding shares of Monogram Residential Trust, Inc. (NYSE:MORE) for a total investment of $81 million. Monogram, formerly known as Behringer Harvard Multifamily REIT I, Inc., is a real estate investment trust that invests in, develops and operates high-quality multifamily communities in 12 states.
Ronald M. Dickerman, Madison’s founder and president, said the investment in Monogram demonstrates strong support of the company’s business plan and recognition of the exceptional quality of its multifamily portfolio, which is the youngest in the industry among U.S.-listed multifamily REITs. Monogram’s portfolio includes 52 multifamily properties with 14,613 units.
“Monogram focuses on multifamily residential investment and development opportunities in high-growth urban areas, with a portfolio of distinctive multifamily communities,” Dickerman said. “We believe the company’s shares have been trading at a discount, due to its long tenure as a non-listed REIT and the significant liquidity needs of its existing shareholders, and because it is still relatively unknown. We think Monogram offers robust growth potential and is a good fit with our differentiated investment strategy.”
Madison International Realty specializes in acquiring partial ownership, joint venture, private REIT and listed shares in class A properties and portfolios in primary markets in the U.S., U.K. and Western Europe. The firm also provides joint venture equity to owners, sponsors and investors who are seeking to monetize existing equity positions, restructure balance sheets, or to replace existing capital partners.