BRT Apartments Corp. Acquires 214-Unit Apartment Complex in Auburn, Alabama for $36.5 Million

BRT Apartments Corp. acquired 1322 North, a 214-unit Class A apartment complex in Auburn, Alabama, for $36.5 million. The acquisition complements BRT's existing ownership of The Village at Lakeside, also in Auburn. BRT contributed $10.7 million of equity and borrowed $7 million from its credit facility. The purchase aligns with BRT's strategy of investing in properties in the Southeast with low supply and high demand.

BRT Apartments Corp. (NYSE: BRT) has announced the acquisition of 1322 North, a 214-unit Class A apartment complex in Auburn, Alabama, for $36.5 million. The property, constructed in 2002, is strategically located near Auburn University and East Alabama Medical Center, complementing BRT's existing Auburn property, The Village at Lakeside.

The acquisition was completed through a joint venture in which BRT holds an 80% equity interest. BRT contributed $10.7 million in equity, partially funded through a $7.0 million draw from its credit facility at 6.87% interest. The property is financed with a $24.4 million mortgage with a 5.38% fixed interest rate, maturing in 2032. The acquisition aligns with BRT's strategy of targeting Southeast markets with favorable supply-demand dynamics.

This acquisition strengthens BRT's presence in the Auburn market and creates operational synergies with its existing property, The Village at Lakeside. The financial structure of this deal is particularly noteworthy, as BRT secured a fixed-rate mortgage with interest-only payments until 2032, preserving cash flow in the near term.

With this acquisition, BRT now owns or has interests in 30 multi-family properties totaling 8,161 units across 11 states. The company's focus on driving AFFO (Adjusted Funds From Operations) and NAV (Net Asset Value) growth through portfolio integration indicates a disciplined approach to creating long-term shareholder value.

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