Independance Realty (IRT) to acquire Steadfast Apartment REIT in stock merger.

Independence Realty Trust, Inc. (IRT) announced today that has reached an agreement to merge with Steadfast Apartment REIT, Inc., with IRT surviving as the continuing public company.  On a pro forma basis, the companies said that the combined portfolio would include 131 apartment communities in 16 states with approximately 38,000 rental units.  The merger is being structured as a stock-for-stock transaction and the combined company is expected to have an equity market capitalization of approximately $4 billion and a total enterprise value of $7 billion.  The merger is expected to close in the fourth quarter of 2021.

According to Scott F. Schaeffer, IRT’s Chairman and CEO, “The combination of IRT and STAR’s highly complementary portfolios will create a leading multifamily REIT in the attractive Sunbelt region, that we believe will be well-positioned to unlock significant value and improve our market diversification."

Established in 2011, Independence Realty Trust is a small-cap equity REIT specializing in the acquisition and management of Class-B apartment properties in non-gateway markets. The company's current portfolio includes 56 communities (15,667 units) with market concentrations in Atlanta (13% of NOI), Raleigh-Durham (12%), Louisville (10%), Memphis (9%), and Columbus (8%).  IRT has a total market capitalization of approximately $2.5 billion and is a member of the S&P SmallCap 600 index.