Behringer Harvard Multifamily REIT I filed an 8-K on December 1, 2011, announcing that it sold joint venture interests of up to 45% in six of its properties to a Korean firm, Milky Way Partners. The total price was $178.6 million. The six properties are 7166 at Belmar; Acacia on Santa Rosa Creek; Argenta; Cyan/PDX; The Gallery at NoHo Commons; and The Lofts at Park Crest. The REIT is selling 15% to 45% in each property.
In conjunction with and a contingency to the REIT's sale, is that the REIT’s current joint venture partner, a European pension fund, is selling its interest in twelve properties it owns with the REIT through a joint venture to Milky Way Partners, including three that are part of the transaction above. The 8-K states that upon the completion of the two transactions, Behringer Harvard Multifamily REIT I will own 55% of each of the fifteen properties included in the two transactions. There is no disclosure on the REIT’s basis in the properties or what value the transaction put on all the properties included in the two transactions. The 8-K did not specify what Behringer Harvard Multifamily REIT I has planned for the sale proceeds.