Centerspace (NYSE: CSR) has announced its entrance into the Salt Lake City market with the acquisition of its first community in the region for $149 million. The newly-acquired Sugarmont is a 341-home community located in the highly desirable Sugar House submarket, offering easy walkable access to retail, dining, and recreational offerings. The Salt Lake City metropolitan area represents an extension of the company's existing mountain west platform and features a diverse economic base with a large presence of high-tech, finance, healthcare, and education jobs.
Additionally, Centerspace has signed an agreement to acquire a 420-home community in Fort Collins, CO, for approximately $132 million, with the assumption of approximately $76 million of long-term, below-market rate mortgage debt.
The company has also commenced marketing for sale its entire five-community portfolio in the Saint Cloud, MN, region and plans to commence marketing for sale several communities from its Minneapolis portfolio.
To enhance financial flexibility during these transactions, Centerspace has exercised the accordion feature of its existing line of credit, expanding the borrowing capacity by $150 million to $400 million.
In conjunction with these developments, Centerspace's board of trustees has declared a regular quarterly distribution of $0.77 per share/unit, payable on July 10, 2025, to common shareholders and unitholders of record at the close of business on June 27, 2025.
As of now, the company is evaluating the potential impact of these transactions on its financial results and plans to provide updated guidance in conjunction with its second-quarter 2025 earnings release.
Centerspace currently owns 72 apartment communities consisting of 13,353 homes located in Colorado, Minnesota, Montana, Nebraska, North Dakota, South Dakota, and Utah. As a result of these announcements, the company's shares have moved 0.16% on the market, and are now trading at a price of $63.85. For more information, read the company's full 8-K submission here.
