IRT Acquires Centerspace to Expand Scale and Diversify Portfolio
Independence Realty Trust (IRT) has acquired Centerspace, a multifamily real estate investment trust with properties in the Midwest and Mountain West. The acquisition is expected to create an $8.1 billion REIT and aligns with IRT's strategy of scale expansion and geographic diversification. CEO Scott Schaeffer emphasized that this deal follows successful past integrations like those involving Trade Street Residential and Steadfast Apartment REIT, which more than doubled the company’s size in 2021. Centerspace brings a distinct geographic footprint with properties such as Sugarmont Apartments in Salt Lake City. The combined portfolio will see 58% of net operating income from Sun Belt markets, 27% from Midwest markets, and 15% from Mountain West markets. Schaeffer noted that the integration is expected to be smoother due to minimal overlap beyond Colorado. Analyst Alexander Goldfarb described the acquisition as a “vindication of the Midwest,” highlighting its stability compared to more volatile Sun Belt regions.