EDEN Living, boosted by up to $180 million in capital from an investment fund managed by Morgan Stanley Real Estate Investing, has started construction on Eden Arlingwood, a 265-unit build horizontal and townhome build-to-rent development in Jacksonville, Fla. Construction is expected to be completed within two years.
It’s the first project of the venture between EDEN Living and the MSREI-managed fund and comes several months after the institutional investment was announced in June. The new firm was formed in February as a partnership between Jay Jacobson, CEO of EDEN Living, and two other multifamily developers, Jay Massirman and Sergio Socolsky. In addition to the MSREI agreement, EDEN Living has also secured a $22 million general partner equity raise through the Capital Advisors Single Family US 1 Fund.
The firm’s goal is to provide a private, lower-density living experience to an underserved segment of the rental market. The company’s initial strategy is to develop horizontal single-story apartment apartments as well as some two-story townhomes, primarily in major Florida markets including Jacksonville and West Melbourne as well as suburban areas of cities like Bradenton, Tampa, Orlando and Ocala. The plan is to eventually expand the platform nationally.
EDEN Living’s second project will feature more than 350 units in West Melbourne and is expected to break ground by the end of this year. The firm said it is too soon to announce other locations but has a total of approximately 500 units in the approval process throughout Florida. Overall, the developer is looking for development sites between 10 and 30 acres in size in Florida and other Southeast markets including Atlanta and locations in Tennessee as well as North and South Carolina. Markets that could be targeted include Charlotte, N.C.; Knoxville, Tenn.; and Memphis, Tenn.
Jacobson said in a prepared statement the Jacksonville project will showcase the company’s vision to create dynamic, well-designed horizontal communities in desirable neighborhoods throughout Florida and the Southeast. Designs will emphasize privacy, outdoor living areas, courtyards and private backyards.
Eden Arlingwood in Jacksonville is being developed on a 20-acre site on the northwest corner of Southside Connect and Treadnick Parkway acquired for $8 million. It will consist of 189 single-story, cluster apartment homes and 76 two-story townhomes. Each unit will have a private backyard and the townhomes will also have private garages. The one-, two- and three-bedroom units will range in size from approximately 700 to 1,300 square feet.
Community features will be similar to what is found in a traditional Class A multifamily development and will include a fully amenitized clubhouse with a clubroom and fitness center, a pool, park area and walking trails.