Midtown Atlanta High-Rise Apartments Set for Construction

December 22, 2011

Novare Group, an Atlanta-based real estate development and investment company, and Batson-Cook Development Company, a subsidiary of Kajima USA, are moving forward on SkyHouse Midtown, a 23-story, 320-unit community in Atlanta.

By Jessica Fiur, News Editor

Atlanta—Novare Group, an Atlanta-based real estate development and investment company, and Batson-Cook Development Company (BCDC), a subsidiary of Kajima USA, are moving forward on SkyHouse Midtown, a 23-story, 320-unit community in Atlanta.

“Partnerships are a key component of this development cycle,” Mike Hood, COO, BCDC, tells MHN. “The Novare and BCDC team brings a unique and compelling offering. Few teams provide the experience in the multifamily space that Novare brings along with the capital horsepower afforded to BCDC by their parent company Kajima USA. Not only do we have a great product designed for today’s customer in a great location, but we can provide lenders with 100 percent confidence that we’ll deliver the product. BCDC’s sister company Batson-Cook Construction, a world-class general contracting firm, will be building the project and provides further cohesiveness to the team. A key to a good partnership is a strong alignment of interests. Our team provides that alignment, and we intend to make the Midtown Atlanta project the first of many.”

The $60 million project is receiving funding from an investor account advised by UBS Global Asset Management, and NGI Investments LLC and BCDC are providing equity.

Once completed, SkyHouse will contain luxury units appealing to young professionals.

“We have designed a project that will target a subset of the population that is drawn to urban infill locations and who wants to live in culturally and ethnically diverse neighborhoods,” Mark Sterwart, director of investments, BCDC, tells MHN. “The subset also tends to be more geographically mobile thereby desiring more flexible living arrangements afforded by apartments. Furthermore, with the expectation that home values will continue to decline or remain flat, there has been a shift in market preferences away from home ownership and towards renting a home in an urban location, which provides further demand for modern high-rise apartment choices.”

Additionally, the building will feature green elements. Currently the developers are targeting an Energy Star designation. Also, according to Jim Borders, president, Novare Group, “the location itself within walking distance of thousands of jobs is the most significant environmental aspect of the building, and the fact that 320 homes are being built on 1.5 acres also preserves the environment.”

SkyHouse is expected to be completed in December 2012. It will be the first high-rise apartment building built in midtown Atlanta in a decade.