AIMCO, GE Create Joint Venture

Apartment Investment and Management Co., Denver, and GE Real Estate, Stamford, Conn., have formed a multifamily joint venture to which AIMCO has transferred interests in 33 of its properties.The properties, which have a total of 10,794 units, are valued at approximately $346 million and have $204 million in mortgage debt that has been assumed by the joint venture, AIMCO said. The multifamily real estate investment trust has a 25% interest in the joint venture and will continue to manage the properties, while the General Electric subsidiary has a 75% interest. The joint venture will make additional acquisitions in 2004, including another five properties that are expected to close soon. GE RE said it expects to invest up to $300 million of equity in the venture, including the investments made so far. The REIT will continue to consolidate the joint venture properties on its balance sheet because of its "control over day-to-day operations," AIMCO said. The REIT has received $107 million in cash on the transaction that it intends to use partly to redeem preferred stock.