For more news on Gables Residential, click here.

BOCA RATON, FL-Gables Residential, a locally based developer, builder, owner and manager of luxury multifamily communities, has acquired a company and reached a separate agreement with another entity--both of which will enable the company to expand into the remaining two markets where it wants to have a presence.

Through the two transactions, Gables will enter the San Diego and Inland Empire (Riverside/San Bernardino) markets, as well as expand in Washington, DC. "This is consistent with a strategy (Gables) laid down five years ago," says David Fitch, chief investment officer of Gables Residential. The strategy was to be operating in eight markets that are all in the top 12 highest-job-growth markets, as identified by several economists. In addition, the eight are complementary markets that have low volatility, he says.

In one deal, Gables has acquired Income Growth Property Management Inc., a property management company based in San Diego, CA, that has 2,141 units under management. In the other deal, Gables has come to an agreement with the New York State Teachers' Retirement System, which JPMorgan Fleming Asset Management advises, to acquire and develop assets in all three markets. As part of the agreement, both Gables and the New York State Teachers' Retirement System are swapping a 50% interest in certain assets. Gables is contributing two South Florida assets and one Washington, DC, asset, while the retirement system is contributing two assets in Temecula, CA. "They're merely investments that the venture made," Fitch says.