Joint Venture Plans Metro Charleston Multifamily
- May 27, 2011
Mount Pleasant, S.C.–CNL Macquarie Global Growth Trust Inc. and Woodfield Investments have entered into a joint venture to build a 258-unit multifamily development on 32 acres in Mount Pleasant, S.C., part of the the Charleston MSA. Work on the project, which will include three four-story buildings, is expected to start later this year and be finished by the end of 2012.
Woodfield Investments, an apartment development specialist based in Ashburn, Va., is active in four southeastern U.S. states, and already owns two other properties in the area: Woodfield South Point in West Ashley and Woodfield St. James in Goose Creek. Woodfield will manage the construction and development, while Orlando-based CNL Macquarie Global Growth Trust will provide capital and oversight.
“This location and product will appeal to professionals who are looking for high-quality housing without the hassles of home ownership,” Mike Schwartz, vice president, Woodfield Investments, tells MHN. “It gives quick access to the new East Cooper Medical Facility and the new Boeing Facility, as well as long-standing employers in Mt. Pleasant and downtown Charleston.”
Mount Pleasant has grown by more than 35 percent during the past 10 years, and even recently has seen employment growth, with an average household income of about $89,000 annually. Area residents are moving away from home ownership, and there’s a limited supply of high-quality, new-construction apartment complexes, notes CNL Macquarie.
In fact, as of March 2011, according to Real Data, there were no rental units under development in the area. Moreover, in the years before the recession, a number of multifamily properties converted to condo, thus removing themselves from the rental apartment martket. To fill this void, the JV between CNL Macquarie and Woodfield Investments recently purchased raw land in the area for $3.4 million with the intention of developing multifamily rental properties.