The company plans to increase its presence in this area using the proceeds from the sale of its Texas apartment communities. Those sales proceeds, estimated based on current market conditions, are expected to be $175 million to $195 million. These proceeds also will be used to increase the company's presence in Washington, DC.
Company officials say they think these two markets "are among the best long-term apartment markets in the country," according to a recent statement. As of Sept. 30, the two markets accounted for nearly 40% of Summit's total property operating income. The company plans to increase that share of the total portfolio to 50%.
Summit president and CEO Steve LeBlanc says he believes increasing its Southeast Florida presence, along with the company's other plans, will help "position the company for an eventual recovery."
The Company also anticipates consolidating from 10 to five core markets--one being Southeast Florida--by the end of 2003.
Summit, based in Charlotte, NC, owns 2,687 apartment homes in seven communities in Dallas, Austin and San Antonio. The company's strategy is to focus capital on a limited number of desirable markets where it has an established critical operating presence.
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