UDR, Apollo Form $2 Billion Apartment Joint Venture; UDR Retains Buyback Option

UDR, Inc. (UDR) and Apollo Global Management (APO) announced Wednesday a long-term joint venture holding 19 apartment communities totaling 7,059 homes valued at roughly $2.0 billion. Apollo-managed funds and affiliates will commit $1.34 billion of equity for an approximate two-thirds stake, while UDR retains a one-third interest and will consolidate the venture. UDR will continue to operate and manage the portfolio, earning an asset management fee, and holds an option to repurchase Apollo's interest at an expected 7.00-7.50% fixed return for a finite period beginning on the fifth anniversary of closing. The transaction is expected to close on October 29, 2026. UDR traded at $35.25 pre-market, up 2.44%, while APO closed at $111.22, up 0.24% on the NYSE.