MID AMERICA APARTMENT COMMUNITIES INC. acquires Colonial Properties Trust

MID AMERICA APARTMENT COMMUNITIES INC. acquired Colonial Properties Trust for approximately $8.6 billion (combined total market capitalization); ~$5.1 billion pro forma equity valuation, a transaction completed in October 2013, structured as all stock (each Colonial common share converted into 0.36 newly issued MAA common shares; intended tax-free; UPREIT). The deal was a merger.

Colonial Properties Trust operates in Multifamily / apartment REIT (Sunbelt), is based in Birmingham, AL (Sunbelt large and secondary markets). Colonial Properties Trust (NYSE: CLP), a Birmingham, Alabama-based multifamily REIT, merged with and into MAA, with MAA the surviving entity. The all-stock combination created a Sunbelt-focused multifamily REIT owning approximately 85,000 apartment units across 285 properties — at the time the second-largest publicly traded REIT portfolio of owned apartments.

The combination of MAA and Colonial Properties Trust will provide an enhanced competitive advantage across the Sunbelt region. The scale of the combined company will support accelerated growth and deployment of capital across our high-growth Sunbelt markets driving superior value creation opportunity for our shareholders.

Brought together two highly complementary Sunbelt multifamily portfolios, adding scale (combined ~85,000 units across 285 properties) and strategic diversity across large and secondary high-growth markets. Higher margins from operating synergies, accelerated capital deployment, and enhanced competitive advantage across the Sunbelt region. Colonial merged with and into MAA (surviving entity), structured as an UPREIT; MAA board expanded to 12 with 5 directors nominated by Colonial. H. Eric Bolton, Jr. served as CEO and Chairman of the combined company.