- Harbor Group International will acquire 11 multifamily assets for $562M.
- Seller AH Realty Trust is repositioning by shifting focus away from apartments to retail and office assets.
- Sale proceeds are earmarked to reduce AH Realty Trust’s leverage and simplify its platform.
- Harbor Group continues its history of large-scale multifamily investments.
Major Multifamily Portfolio Changes Hands
According to Commercial Observer, Harbor Group International (HGI) agreed to acquire an 11-property multifamily portfolio from AH Realty Trust. The deal carries a total value of $562M. The companies expect the transaction to close by mid-2026. The purchase marks another major multifamily investment for HGI. President Richard Litton continues to lead the firm’s aggressive acquisition strategy.
Meanwhile, AH Realty Trust, formerly Armada Hoffler, is reshaping its investment strategy. The company plans to reduce debt and shift focus toward retail and office assets. Leadership believes the sale will help unlock shareholder value. It will also streamline the REIT’s platform and narrow its investment focus.
Strategic Shift for AH Realty Trust
AH Realty Trust will use proceeds from the multifamily sale to reduce leverage. CEO Shawn Tibbetts set a target of 5.5x to 6.5x net debt to adjusted earnings. The company also plans to simplify its portfolio and sharpen its investment focus. The move follows a broader trend of REITs reshaping portfolios as investors push for clearer strategies and stronger balance sheets.
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Harbor Group’s Multifamily Portfolio Grows
This $562M multifamily assets acquisition continues HGI’s active investment streak. In June 2025, HGI acquired another portfolio of 11 properties for $625M in the Southeast US, followed by a $740M buy of five Boston-area communities. HGI stated these moves are aimed at enhancing the quality and size of its multifamily assets portfolio as demand and competition remain high.
What’s Next
The transaction reflects ongoing momentum in the multifamily assets segment, driven by institutional capital flows and REITs rebalancing portfolios. All eyes now turn to how AH Realty Trust reallocates its resources and how Harbor Group integrates the new holdings into its expanding multifamily assets footprint.
