By Dees Stribling, Contributing Editor
Stockbridge, Ga.—PointOne Holdings has acquired the 240-unit Southwinds Stockbridge Apartments in Stockbridge, Ga., for $17.8 million. The property was built in 1993 and substantially renovated in 2007; it’s currently 96 percent occupied.
The buyer, an investment group with offices in Hollywood, Fla., and Atlanta, plans to rebrand the community as Southwinds Point. As part of the rebranding, it will invest $1.25 million for improvements to the property. The renovations will include upgrades to unit interiors, as well as to the leasing and resident centers.
PointOne also plans to modernize and add more amenities, including a new dog park, outdoor kitchens and fireplaces, new signage and a gazebo with picnic tables and outdoor grilling stations. “The property has tremendous potential,” PointOne managing member Craig Sternberg pointed out.
PointOne obtained a $13.75 million non-recourse loan at a fixed rate with a 10-year term from Starwood Mortgage Capital to complete the acquisition. The company was advised in the deal by Charles Foschini and Jason Hochman of CBRE Capital Markets.
Stockbridge is in Henry County, and part of the Atlanta MSA. Demand for apartments in greater Atalnta has been brisk in recent years as the area has seen employment expansion greater than the national average.
Multifamily development is brisk as well. According to investment specialist Marcus & Millichap, developers will add 9,750 units to the market in 2015, up modestly from last year. Mostly, however, they won’t be in places like Henry County. Rather, new rentals will focus on high-rent areas in the Downtown, Midtown and Buckhead submarkets.