Kirkland Advises Apollo on Formation of $2 Billion Strategic Partnership with UDR, Inc.
Kirkland & Ellis is advising Apollo (NYSE: APO) on its announced intention to form a new, long-term joint venture with UDR, Inc. (NYSE: UDR), a multifamily real estate investment trust, involving a diversified portfolio of apartment communities. The joint venture will own a portfolio of 19 high-quality communities totaling 7,059 apartment homes, valued at approximately $2 billion. Apollo-managed funds and affiliates will invest $1.34 billion of equity capital into the newly established joint venture, acquiring an approximate two-thirds interest. UDR will retain a one-third interest, consolidate the joint venture and continue to operate and manage the portfolio, for which it will earn an asset management fee. UDR will also retain an option to repurchase Apollo's interest at an expected 7.00–7.50% fixed return for a finite period starting at the fifth anniversary of closing.
The Kirkland team included debt finance lawyers Roald Nashi, Gregory Howling, Yan Ng and Miriam Domer; corporate lawyers Adam Larson, John Pitts, Walton Dumas, William Kelly, Ines Tzolov and Faith Udobong; real estate lawyers Michelle Kelban, Ari Stavsky and Jordan Popofsky; tax lawyers Mark Dundon, Rachel Malhiet and Grant Perkins; capital markets lawyers Julian Seiguer, Anthony Sanderson and Kyle Sledge; environmental transactions lawyers Michael Saretsky and Jacob Manheim; executive compensation lawyers Stephen Jacobson, Laura Westfall and Carly Krause; employee benefits lawyers Maureen O’Brien and Nick Carballo; employment & labor lawyers Josh Owings, Erin Davey and Shyion Byfield; international trade & national security lawyers Nick Niles and Jason Klein; restructuring lawyers Ross Fiedler, Amanda Damon and Brian Messing; and technology & IP transactions lawyer Matthew Lovell.
