Elme Communities saw its stock gain after the company provided an update on its liquidation outlook and confirmed a new sale arrangement for Riverside Apartments.
The REIT said it entered into a purchase and sale agreement for Riverside Apartments on July 23, 2026, with a new buyer for a contract price of $250.0 million. That agreement followed the previous purchasers decision to terminate the initial May 2026 contract on June 17, 2026.
Following the change in Riversides contract price, Elme adjusted its projected total liquidating distributions to a range of $16.41 to $16.61 per share, down from its May 2026 estimate of $16.74 to $17.02 per share. The company said the revision primarily reflects the lower contract price for the Riverside property versus the prior agreement.
To date in 2026, Elme has completed sales of six properties, generating aggregate gross proceeds of approximately $294 million. The portfolio dispositions included five multifamily assets and one office property, Watergate 600.
Four properties remain under contract, the company reported: Riverside Apartments, Elme Bethesda, The Kenmore, and 3801 Connecticut Avenue. Excluding Riverside, the existing agreements for the other three properties provide for gross proceeds of about $168 million in aggregate.
Elme said it expects to finalize all remaining sales during the third and fourth quarters of 2026. The company also reiterated plans to delist from the New York Stock Exchange and dissolve the company in the fourth quarter of 2026.
Earlier in the year, the company paid an initial special liquidating distribution of $14.67 per share on January 7, 2026. Based on the updated estimate, shareholders should expect additional liquidating distributions of $1.74 to $1.94 per share from the sale of the remaining assets.
Context and recent corporate actions
- Shareholders approved the Plan of Sale and Liquidation on October 30, 2025.
- The Riverside Apartments sale agreement dated July 23, 2026, replaces an earlier May 2026 agreement that was terminated on June 17, 2026.
- Aggregate proceeds from completed 2026 sales total approximately $294 million.
The companys updated liquidating distribution range and the new buyer for Riverside Apartments drove the market reaction reflected in the recent share-price movement.