Essex Property Trust buys 349-unit condominium project in California’s Orange County
By APMonday, March 8, 2010
Essex buys condominium project in California
PALO ALTO, Calif. — Essex Property Trust Inc., a real estate investment trust, said Monday it agreed to acquire a stake in a 349-unit condominium project in Santa Ana, Calif., for $128 million.
CEO Keith Guericke said Essex acquired the interest in the property, in Orange County, from a construction lender at about 55 percent of its initial construction cost.
“We believe that rents in Orange County will recover faster than other areas given its improving employment outlook and limited supply of competing housing,” he said.
Essex bought a 50 percent interest in the property in a joint venture. Essex will get fees and may earn a promoted interest for the acquisition, management and sale of the community.
Shares rose 16 cents to $90.54 in late day trading.
