Atlanta-based Carter, one of the largest investment, development and advisory firms in the United States, recently started construction on phase two of a mixed-use project in downtown Columbus. Carter is working on the project together with local equity partners Bob Weiler and Don Kelley.
The project is a 325,000-square-foot redevelopment of the former Columbus City Mall and is projected to cost $50 million. It was recently named HighPoint at Columbus Commons; when finished, it will add 301 residential units and 23,000 square feet of first-floor retail space to downtown Columbus. Located on two acres along South High Street, HighPoint is part of the nine-acre Columbus Commons site.
The homes will be designed with a warm, red-brick traditional style. They will consist of studios, one- and two-bedroom units, as well as 11 two-level townhouses located on the park side of the building. It will offer residents such amenities as a swimming pool, a club room, a workout room and connection to the underground garage now available underneath Columbus Commons. Two restaurants will make up the retail part of the project. They will offer outdoor seating and views of the park and pavilion stage. The project is expected to be completed in December 2013.
Carter acquired the land from Capitol South, the developer of Columbus Commons. Retail leasing will be provided by The Robert Weiler Co., while Village Green will be in charge of residential leasing and property management. Columbus-based Moody Nolan is the project’s architect, with Brasfield & Gorrie as the general contractor. Huntington National Bank is providing the construction loan with participation from Fifth Third and First Commonwealth banks.
The Columbus apartment market is currently strong, with vacancies at a 10-year low. Demand is high due to increased employment and population growth. In addition, the last financial crisis made people more cautious, and most now prefer renting over buying. According to Marcus & Millichap, overall vacancy is expected to decrease even more, to 6 percent this year, while rents will see a 2.9 percent annual increase and reach $701 per month. Effective rents will bump up 3.9 percent to $665 per month.
Charts courtesy of Marcus&Millichap.
Rendering courtesy of Carter.