Tricon Residential has entered into an agreement to sell its 20% equity interest in its portfolio of 23 Sunbelt apartment buildings. The interest is being acquired by a vertically integrated residential real estate investment and property management company, which will assume all asset and property management responsibilities after a customary transition period. The transaction remains subject to customary closing conditions and is expected to close on or around October 18.

In aggregate, Tricon will receive approximately $315 million of gross proceeds from the sale, including performance fees earned for managing the third-party joint venture through which the portfolio is held.

Tricon intends to use the proceeds primarily to repay outstanding debt on its corporate credit facility and pursue future growth in its core single-family rental business.