Raleigh-Durham Multifamily Wrap-Up – June 2020
- Jul 03, 2020
Following a recent spike of new COVID-19 cases, North Carolina has taken measures to slow its reopening processes, extending its current phase through July 17. Although many restrictions remain in place, some changes are afoot, with the state’s eviction moratorium expiring toward the end of the month. Uncertainty remains in Raleigh-Durham’s multifamily market, giving pause to many investors and developers. However, some signs of life were apparent by month-end, with the close of a few notable deals. Here is our June selection of Raleigh-Durham must-knows:
1. DEAL – Knightvest Capital makes $80 million market entrance.
The company first purchased The Ashton, a 250-unit property in Raleigh. Hawthorne Residential Partners sold the asset for $42 million. The community is located at 8224 Green Lantern St., and has 15 three-story buildings. Knightvest also acquired Parc at University Tower, a 186-unit community in Durham, for $38 million, according to Yardi Matrix. Newmark Knight Frank provided the buyer with two loans totaling $61.2 million from Freddie Mac and PPM Life Co.
2. DEVELOPMENT – D.R. Horton to develop 264-unit community in Fuquay-Varina.
According to Triangle Business Journal, the project will have two buildings with retail in addition to 12 residential buildings. Planned common-area amenities include a clubhouse, swimming pool and dog park. The site is located within 20 miles of downtown Raleigh at 2300 N. Broad St., on approximately 19 acres.
3. OPERATIONS – RKW Residential adds 288-unit, garden-style asset to portfolio.
The manager started operating at Southpoint Crossing in Durham as part of a five-property, 1,500-unit agreement. This is the firm’s second collaboration with Starlight U.S. Multifamily Core Plus Fund. The owner acquired the 13-building property in March. Located on 26 acres at 1800 Southpoint Crossing Drive, the property is just off Interstate 40.
4. DEAL – Durham affordable housing property trades for $11 million.
Vitus Group acquired the 100-unit Oakley Square from Pinnacle Golf Properties, according to Triangle Business Journal. The seller bought the asset in 2002 for $1.9 million. The community comprises one- to four-bedroom apartments. Located on 7 acres at 1835 Cheek Road, the property is near an industrial area less than 1 mile from Interstate 85.