California REIT Buys Charlotte Apartments
By Dees Stribling, Contributing Editor
Charlotte, N.C.—KBS Legacy Partners Apartment REIT Inc. has bought Wesley Village, an apartment community in Charlotte, N.C., for about $45.8 million. The property is on 14.8 acres near North Carolina 27 and I-77 and I-277, five miles west of Charlotte Douglas International Airport.
Completed in 2009, Wesley Village includes 301 units and was 93 percent occupied at the time of acquisition. Units feature 9-foot ceilings, private terraces and sunrooms, as well as wood flooring. Community amenities include a 10,000-square-foot clubhouse, fitness center and yoga studio, a billiard room and a saltwater swimming pool.
Charlotte is a growing employment market with a growing demand for multifamily housing. By the end of 2012, estimates investment property specialist Marcus & Millichap, the Charlotte area will have generated a net of 13,800 new jobs, for a growth of 1.7 percent for the year. Many of those jobs will be filled by people looking to form new households in the area.
Not only that, the market’s apartment vacancy rate is about 5 percent, the lowest level since the mid-1990s, according to Marcus & Millichap. Yet new construction is anemic: only 565 units will come on line in 2012, which is fewer than in 2011, when 825 did.
The Charlotte purchase of Wesley Village brings the REIT’s total units to 1,752. It also owns Poplar Creek, a 196-unit complex in Schaumburg, Ill.; the 256-unit Legacy at Martin’s Point in Lombard, Ill.; Legacy Crescent Park, a 240-unit property in Greer, S.C.; the 255-unit Residence at Waterstone in Pikesville, Md.; and the 504-unit garden-style Legacy at Valley Ranch Apartments in Irving, Texas.