Varia US Properties Ltd

Brookfield Asset Management has entered a new joint venture with Varia US Properties AG covering 13 multifamily properties across nine U.S. states, involving assets valued at about US$694 million. The company's shares trade at about CA$71.10, with a 30-day return of 8.24% and a 90-day return of 7.32%, while the three-year total shareholder return stands at 75.79% against a one-year decline of 10.16%. The most followed valuation narrative pegs fair value near CA$80.24, implying the stock is about 11.4% undervalued, though it trades at 29.4 times earnings versus the Canadian Capital Markets industry average of 7.4 times.

SWI Group's Varia US Properties has signed a definitive agreement with affiliates of Brookfield Asset Management covering 13 of Varia's 17-property U.S. multifamily portfolio through a newly formed USD 693.9 million two-vehicle joint venture. The joint venture provides access to up to USD 200 million equity capital to fund future acquisitions, enabling Varia US to expand its portfolio and reposition toward higher-quality assets. The 13 properties, comprising 4,112 units across nine U.S. states, have an aggregate gross asset value of approximately $694 million, while four properties will remain wholly owned and consolidated by Varia US. Varia US will actively invest in the joint venture assets to maximize value ahead of planned disposals, with proceeds recycled into higher-quality acquisitions.