InvenTrust PropertiesCorp. said it expects to close the sale of University House Communities Group Inc. by the endof the second quarter.
The company, as disclosed earlier, is selling the student housingplatform for roughly $1.4 billion. The portfolio includes 18 stabilized student-housingcommunities and four in development with a total of about 13,000 beds.
In an April 6 letter, InvenTrust said its board expects the saleto maximize the portfolio's value for the company's stockholders. The sale proceeds,subject to board approval, may be used to invest in "premier" multitenantretail properties in the company's target markets, trim debt to improve its capitalstructure and explore a potential stock buyback.
Following the sale and the planned spinoff of its noncore portfolio into an entity called HighlandsREIT Inc., InvenTrust said it will become pure-play multitenant retail REIT.
The buyer of the platform is a joint venture of the Canada PensionPlan Investment Board, GIC and Scion Communities Investors LLC.