Two of the multifamily’s biggest moves in the Nashville market of late have come from Atlanta-based operators. First, there was the groundbreaking of the 200-unit ParkCentral on Centennial Park, which was followed by the sale of the 220-unit Velocity in the Gulch.
Located at 320 11th South Ave., Velocity in the Gulch initially opened in 2009 as a mixed-use condo and retail project but it never quite got off the ground, as the condo market soon crashed as a result of the economic downturn. According to a Nashville Business Journal report, the property was developed by locals MarketStreet and Bristol Development Group. According to sources close to the project, the lender took back the property in 2010 through a deed in lieu of foreclosure, or “friendly foreclosure.”
Atlanta-based Pollack Shores Real Estate Group purchased the property in March 2011 for $23.5 million and converted the unsold condo units into 220 apartments. Now, the real estate and services firm has sold Velocity for $37.5 million to Chicago-based Walton Street Capital. Neither sale included the 43 condos that sold previously to Velocity’s foreclosure, nor did they include the ground-level retail space owned by MarketStreet Enterprises, according to the Nashville Business Journal.
At a rate of over $170,000 per unit, the Velocity transaction is one of the most significant recent multifamily deals in the Nashville market.
Another Atlanta-based player, North American Properties (NAP), recently shook things up with the groundbreaking of the 200-unit luxury rental community, ParkCentral, located at 220 25th Avenue next to Centennial Park. The eight-story development will feature community amenities such as a rooftop deck, a saltwater swimming pool and an outdoor kitchen. The resort-style clubroom and upscale fitness center will also be located on the roof.
The development team includes project architect NilesBolton Associates, interior designer Design Environments Inc., outdoor space designer Site Solutions and engineer Barge Waggoner Sumer & Cannon Inc., while NAP Construction LLC will manage construction. The one- and two-bedroom apartments are expect to be completed by the summer of 2013.
Image Courtesy of Wilbert News Strategies
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