Investors Add New Charlotte Apartment Projects Amid Rising Rents
- Feb 03, 2014
Spectrum Properties is kicking off construction on its newest Charlotte project, a 177-unit luxury apartment complex in Uptown, reports the Charlotte Business Journal, after it purchased a 1.4-acre site in January for $6 million. Dubbed The Mint, due to its proximity to a site that once held a U.S. Mint branch, the development is expected to complete in April 2015. Initially slated to break ground before the end of 2013, The Mint boasts Balfour Beatty as general contractor and Charlotte-based Housing Studio as architect.
According to previous coverage by the Charlotte Business Journal, the seven-story development will comprise five residential floors featuring studio, one- and two-bedroom apartments atop two parking levels and amenities such as a pool, fitness center, sky terrace, luxury community lounge, multiple courtyards, dog park, pet elevator and bikes for resident use. Rents are predicted to be lower than Uptown’s average due to The Mint’s wood frame structure and midrise design.
In other multifamily news, Atlanta-based Tivoli Properties Inc. is also eyeing Uptown for apartment development. According to Charlotte Business Journal, Tivoli plans to develop a 30 to 35 story high-rise at the corner of east Sixth and North College Streets that could feature as many as 330 units and street-level retail space.
The Charlotte apartment market continues to be an attractive location for investors, with Marcus&Millichap predicting a 3.5 percent rent increase in 2014,to an average of $911 per month, after a 6 percent increase experienced in 2013. Although vacancies will rise for the first time in 2014 to 5.6 percent due to 5,500 units coming online, which will outpace absorption, the demand and supply ratio will remain in a healthy balance.
Rendering courtesy of Housing Studio
Chart courtesy of Marcus&Millichap