Aimco Prepares to List Hamilton Apartment Tower in Edgewater
Aimco, a prominent real estate investment trust (REIT), is gearing up to list its waterfront Hamilton apartment tower in Edgewater, Miami. This move marks the REIT’s second major property to hit the market in Miami this year. The 28-story, 276-unit Hamilton, located at 555 Northeast 34th Street, will be listed for sale this quarter, as revealed in Aimco’s filings to the Securities and Exchange Commission.
Following the listing of a 4.3-acre waterfront site in Miami’s Brickell area in March, Aimco’s plan to sell the Hamilton is part of its strategic initiatives. The Brickell assemblage includes the Brickell Bay Office Tower and the adjacent Yacht Club Apartments, with a combined asking price of $650 million. Aimco aims to close on the sale of both properties by year-end if pricing and terms are acceptable.
The Hamilton, completed in 1984 by Carnival Cruise Line founder Ted Arison, underwent a significant renovation after Aimco purchased it in 2020 for $89.6 million. Despite facing challenges from longtime tenants over lease terminations in 2021, Aimco successfully completed the redevelopment project last year and leased up the tower at rates exceeding underwritten rents.
In addition to the Hamilton and Brickell properties, Aimco may consider offloading other assets in South Florida and Aurora, Colorado, according to its first-quarter earnings release. Aimco’s strategic capital allocation strategy involves maximizing value-add and risk-adjusted returns by potentially monetizing planned projects before construction begins.
Aimco’s diverse portfolio includes plans for a waterfront rental tower in Edgewater and a mixed-use project in Fort Lauderdale’s Flagler Village. The REIT also holds a minority ownership stake in a megaproject development site at 3333 Biscayne Boulevard in Edgewater, which might also be on the market.
As Aimco moves forward with its sales strategy, it emphasizes prudent allocation of net proceeds with a preference for returning capital to stockholders, as stated in its SEC filings.
Source: Lidia Dinkova from therealdeal.com
