NEW YORK CITY-In further expanding its rental footprint on the East Coast, Denver-based multifamily REIT UDR Inc. has taken New York by storm. During the company’s third quarter earnings call on Monday morning, UDR reported nearly $1 billion in Manhattan acquisitions in Q3, a sign that the REIT is continuing to target high-growth urban cores where rental activity is booming.

“While we are in a challenging and volatile macro environment, the effects on our business have been mitigated by the combination of declining home ownership rates, a multi-generational low in new supply, low turnover and solid job growth amongst younger aged cohorts,” said Thomas W. Toomey, president and CEO of UDR, noting that gateway markets like Manhattan, Washington, DC, Boston and Southern California have outperformed secondary suburban locations. “Integrating these high quality assets into our portfolio has been a top priority.”

In Manhattan alone, UDR acquired communities such as the 706-unit, 35-story Rivergate apartment tower in Murray Hill for $443.4 million, the 210-unit 21 Chelsea for $138.9 million and 507-unit 95 Wall in the Financial District from the Moinian Group for $328.9 million, totaling 1,423 units overall. In turn, the three communities have seen rent increases in the 11% to 14% range with occupancies averaging at 98%, said Jerry A. Davis, senior vice president of property operations at UDR. Each building had an average monthly income of more than $3,000.