Kelly Residential & Apartment Real Estate ETF - RESI STOCK NEWS

Pretium and Ares Management have completed the acquisition of Front Yard Residential, marking a significant transaction in the single-family rental (SFR) market. With over 55,000 rentals, Pretium becomes the second-largest owner in the U.S. SFR sector. The partnership aims to optimize and grow Front Yard's diversified portfolio, capitalizing on high occupancy rates and stable cash flows. CEO Don Mullen emphasized the urgency for institutional investors in this asset class, anticipating attractive returns. This strategic move positions Pretium and Ares to leverage their combined experience for future growth.

Front Yard Residential Corporation (NYSE: RESI) announced an amendment to its merger agreement with the Pretium Partnership, increasing the cash consideration from $13.50 to $16.25 per share. This adjustment values the company at approximately $2.5 billion, including debt. The revised offer, a 63% premium over the stock's closing price prior to the initial agreement, follows an unsolicited proposal from a third party. The board recommends stockholders approve the amended agreement, expecting closure in Q1 2021, subject to necessary approvals.

Front Yard Residential Corporation (NYSE: RESI) reported its third quarter 2020 financial results, highlighting a merger agreement with Pretium at $13.50 per share, valued at approximately $2.4 billion. Rental revenues rose to $56.9 million, a 3.3% increase from Q2 2020 and a 12.2% increase year-on-year. Core Funds from Operations (FFO) reached $0.19 per diluted share, up from Q2 2020. Despite strong operating metrics, the Company posted a GAAP net loss of $63.2 million, significantly greater than the $36.4 million loss in Q3 2019.

Front Yard Residential Corporation (NYSE: RESI) has announced a definitive merger agreement with a partnership led by Pretium and Ares Management Corporation, valued at approximately $2.4 billion, including assumed debt. Stockholders will receive $13.50 per share, a 35.5% premium over the closing price on October 16, 2020. The merger is slated to create the second-largest single-family rental owner/operator in the U.S., enhancing operational efficiencies and scale. Approval from a majority of stockholders is anticipated for the first quarter of 2021.

Front Yard Residential Corporation (NYSE: RESI) reported strong operating metrics for August 2020. Collections were at 99% of the trailing 12-month average, while the Stabilized Rental leased percentage increased to 98.8%. Additionally, average occupied days rose to 97.3%, marking a significant improvement compared to 91.8% a year ago. The blended rent growth for August was at 4.6%, slightly down from July's 4.7%. CEO George Ellison emphasized the company's commitment to high-quality service for tenants and value creation for stockholders.

Front Yard Residential Corporation (NYSE: RESI) announced the termination of its asset management agreement with Altisource Asset Management Corporation (AAMC), facilitating its transition to an internally-managed REIT. The parties agreed upon a termination fee of $46 million, along with an acquisition of certain AAMC assets for an additional $8.2 million. This move aims to align management with shareholder interests and is expected to enhance operational efficiency and shareholder value. The transition is anticipated to be completed by February 9, 2021.

Front Yard Residential announced its Q2 2020 results, reporting rental revenues of $55.1 million, a 1.5% increase from Q1 2020 and 6.9% year-over-year. Core FFO improved to $0.18 per diluted share. Notably, the company maintained a 98.3% leased percentage and achieved 4.1% blended rent growth. A $25 million termination fee was received from a merger deal with Amherst, along with a stock purchase and a $20 million loan facility. GAAP net income for the quarter was $4.0 million, a significant recovery from a $25 million loss in Q2 2019.

Front Yard Residential Corporation (NYSE: RESI) will release its second quarter earnings on August 10, 2020. A conference call is scheduled for 8:30 a.m. ET the same day to discuss the results, with a live audio webcast accessible on the company's website. Interested participants should log in at least 15 minutes prior to the call. Following the call, a replay will be available for 30 days. Front Yard is a leader in providing affordable rental homes, focusing on quality housing for families across suburban areas.

Front Yard Residential Corporation (NYSE: RESI) reported strong operational metrics for June 2020, highlighting a collection rate of 99% at 30 days, consistent with historical averages. Stabilized rental leased percentage improved to 98.3%, while average occupied days rose to 96.7%, up from 92.1% year-over-year. June's blended rent growth was 4.5%, contributing to a total of 4.1% for Q2 2020. CEO George Ellison praised the team for their efforts during the pandemic, emphasizing the high demand for quality rental experiences.