Hines is entering the build-for-rent sector with its first project in Surprise, Ariz. The company, alongside its joint venture partner New York Life Insurance Co., will develop Enclave Point, a 160-unit community. Hines will start construction on the build-for-rent project in the fourth quarter of 2022, aiming to complete the community in 2024.
Enclave Point is being built on a 12.9-acre site and will offer modern wood-frame apartment-style homes. The community will offer one-bedroom attached units that are around 692 square feet and two-bedroom standalone units that are approximately 1,065 square feet, Jim Bulsiewicz, director at Hines, told Multi-Housing News.
Hines is outfitting the units with smart home technology packages, which currently plan to include smart thermostats, smart locks and smart outlets, Bulsiewicz told MHN. The units will also have a yard and a built-in dog door, while the community will offer a pool, clubhouse, fitness center, dog park and co-working spaces.
BETTING ON BUILD-FOR-RENT
According to Hines, the Surprise submarket is seeing significant population growth due to more commercial development along Route 303 that’s attracting companies to relocate offices to the area. For Hines, the interest from companies and population growth has led to an increased need for new housing options in the submarket.
“We’ve continued to observe a growing housing need in the Southwest, especially in the Phoenix metro,” Bulsiewicz told MHN. “When further studying this, we realized a need for residential options that live like a single-family home, but provide the amenities traditional multifamily renters have grown accustomed to such as pools, fitness centers, etc.”
Bulsiewicz also told MHN that Hines would pursue more build-for-rent projects and already has some other build-for-rent sites under contract in the Phoenix metro. Bulsiewicz added that Hines is planning on developing build-for-rent communities throughout the Southwest. Besides its new interest in the build-for-rent sector, Hines is still building traditional multifamily communities, like its 325-unit project in north Phoenix that began construction in late 2020.