Charlotte Multifamily Wrap-Up – October 2020
Charlotte-area properties trade in $323 million deal. Peak Capital Partners makes $181.5 million investment. Read our October selection of Charlotte must-knows.
The Palmer Apartments. Image courtesy of Dominion Realty Partners
Charlotte’s multifamily sector came to life in October, with a number of major deals closing through the month. In addition to two major portfolio deals, recently delivered assets also garnered investor interest. Development pushed forward as well, with at least one project breaking ground, adding to the nearly 14,000 units Yardi Matrix shows were underway. Here’s our October list of Charlotte must-knows:
1. DEAL – Charlotte-area portfolio trades in $323 million sale.
Morgan Properties purchased the 13 Class B assets from Threshold Capital and BMA Capital as part of a larger, 3,256-unit deal encompassing 18 properties across the Carolinas. The largest property in the transaction was the 282-unit Lakewood Apartment Homes at 50 Lakewood Drive in Salisbury. The exurban community, built in phases in 1986 and 1997, is northeast of Charlotte.
2. DEVELOPMENT – Madison Capital breaks ground on luxury project.
Located just north of Interstate 485, the 240-unit Madison Farms will take shape on a 14.7-acre site at 12601 N. Tryon St., some 15 miles northeast of downtown Charlotte. Upon completion in 2022, the community will have a mix of apartments and townhomes averaging 900 square feet. Amenities will include a resort-style pool, fitness center, dog park and walking path.
3. DEAL – Peak Capital Partners buys 1,249 units in $181.5 million deal.
Threshold Capital and BMA Capital sold another eight Charlotte-area properties in its wider disposition of 5,115 units in North and South Carolina, according to Charlotte Business Journal. Peak Capital’s acquisition included value-add assets largely built by the same developer between 1975 and 2005. The largest, the 226-unit Crestview in Concord, is a short distance from Interstate 85, 20 miles northeast of downtown Charlotte. Cushman & Wakefield represented the sellers.
4. DEAL – IMT Capital makes $89.2 million Ballantyne purchase.
Flournoy Development Co. sold the 397-unit District South, according to Charlotte Business Journal. Renamed as IMT Ballantyne, the 2019-built community comprises six four-story buildings across 40 acres at 12600 District South Drive. The unit mix has one- to three-bedroom apartments averaging 998 square feet. Amenities include a swimming pool, fitness center, business center and media room.
5. DEAL – Blackstone pays $63 million for upscale community.
Dominion Realty Partners and Edge Principal Advisors sold the 318-unit Palmer Apartments. The Class A multifamily property at 7407 Dominion Park Lane encompasses 11 three-story buildings completed in 2019. The unit mix has one- to three-bedroom apartments ranging from 613 to 1,262 square feet. Common-area amenities include a swimming pool, clubhouse, fitness center and internet café.
6. DEAL – Southwood Realty adds Lake Wylie asset to portfolio.
The company paid McAdams Homes $41 million for the 245-unit Lodges at Lake Wylie, also assuming a $24 million loan from insurer Nationwide as part of the deal, according to Yardi Matrix. Situated on more than 24 acres at 118 Lodges Lane, the community, opened in 2018, has one- to three-bedroom apartments across seven three-story buildings. Capstone Apartment Partners negotiated on behalf of the seller.
