Morgan Properties has closed on its US$354-million acquisition of Dream Residential REIT in a $354-million deal.

The cross-border transaction privatizes the publicly traded Canadian REIT and adds 15 communities—totalling 3,300 units—across major markets in Texas, Ohio, Kentucky and Oklahoma.

“In pursuing the Dream transaction, Morgan Properties leveraged off of our strong balance sheet and our expertise in executing complex, structured transactions to accommodate the specific needs and timeframe of Dream Residential REIT’s unitholders and board of Trustees,” said Jonathan and Jason Morgan, Co-Presidents of Morgan Properties. “Morgan Properties has a proven track record in closing these complicated transactions given our unique ability to provide sellers with execution certainty. Our contrarian investment strategy targets large one-off and institutionally sized portfolios without institutional competition. While our regional competition is capital constrained and institutional investors are chasing flight-to-quality investment opportunities, we intend to capitalize on institutionally sized workforce housing investment opportunities with significant barriers to entry. In 2025, Morgan Properties has acquired $1.5 billion comprised of over 14,000 units.”

The acquisition follows a strong 2025 for the company, which surpassed 110,000 units during its 40th year in business. Morgan Properties plans to reinvest $58 million in interior and exterior upgrades across the newly added 15 communities, which were built between 1968 and 2002. The company has acquired more than 80 properties and hired 250 site-team members this year, and expects to invest $200 million in capital improvements across its recent purchases.

The completion came after Dream Residential unitholders overwhelmingly approved the deal. Dream Residential unitholders granted almost unanimous (more than 99%) approval, with marginal differences according to voting classs. Two-thirds support was required.

Morgan acquire the REIT in an all-cash transaction. Under the terms of the arrangement, unitholders of Dream Residential REIT and DRR Holdings LLC class B units received US$10.80 per unit. The purchase price represents a 60% premium to the REIT’s closing unit price on the Toronto Stock Exchange as of February 19, 2025, the day before the REIT announced its strategic review, and an 18% premium to the closing unit price on August 20, 2025.

The Dream Residential board of trustees unanimously approved the then proposed transaction, which followed the conclusion of the REIT’s strategic-review process.

As part of the transaction, Dream Unlimited Corp. and Pauls Corp., which provide asset management and administrative services to the REIT, agreed to terminate existing agreements in exchange for a separation payment of US$7 million.

The deal was implemented through a statutory plan of arrangement under Ontario law.

TD Securities acted as exclusive financial advisor to Dream Residential REIT, with Osler, Hoskin & Harcourt LLP and Clifford Chance US LLP serving as legal counsel. RBC Capital Markets acted as exclusive financial advisor to Morgan Properties, with Stikeman Elliott LLP and Blank Rome LLP serving as legal counsel.

Morgain acquired Dream Residential’s portfolio of garden-style multi-residential properties in U.S. Sunbelt and Midwest markets.

Headquartered in Conshohocken, Penn., Morgan is the largest private multi-family real estate owner in the United States, with a portfolio exceeding 100,000 units across more than 360 communities in 22 states.