Raleigh-Durham Multifamily Wrap-Up – September 2020
Duck Pond Realty pays $80 million for upscale property. Bell Partners expands management portfolio. Catch up with our September list of Raleigh-Durham must-reads.
With the health crisis relatively stabilized, North Carolina still recorded a 28 percent increase in the average number of new coronavirus infections in the second half of September, according to The New York Times. And as the statewide eviction moratorium expired in June and the federal ban came into effect at the beginning of September, landlords filed documents for 18,333 evictions between the two, according to News & Observer. Nearly 2,000 of those documents were recorded in Wake and Durham counties.
Several major moves took place across the metro last month. Transactions took center stage, as several companies expanded their portfolios and funded purchases with federally backed mortgages. Check out our September selection of Raleigh-Durham must-knows:
1. OPERATIONS – Bell Partners expands management portfolio.
The company will oversee operations for Signature Property Group’s eight existing communities encompassing 2,414 units in North Carolina. As part of the agreement, Bell Partners will become the property management company for the developer’s future projects. One of the properties included in the portfolio is Elevate Brier Creek, located at 9921 Horizon Overlook Drive in Raleigh. Built in 2018, the community has 56 units.
2. DEAL – Terwilliger Pappas sells luxury community for $80.2 million.
Duck Pond Realty acquired The Reserve at Patterson Place, a 345-unit property, according to Triangle Business Journal. Berkadia provided a $52.3 million Fannie Mae loan for the purchase, Yardi Matrix shows. Completed in 2019, the 12-building community occupies 20 acres at 1055 Stillwell Drive. The property has one- to three-bedroom units ranging between 615 and 1,726 square feet.
3. DEVELOPMENT – CA Ventures delivers student housing property.
The developer completed nine properties totaling 3,867 beds across Alabama, Minnesota, Nevada, North Carolina and Pennsylvania, including the 345-bed Uncommon Raleigh. The property located at 3020 Hillsborough St. offers studio units and one- to five-bedroom floorplans and is located within walking distance of Auburn University. In 2019, the company financed the project with a $32.7 million construction loan from TD Bank, Yardi Matrix shows.
4. FINANCING – Suburban community lands $36 million loan.
Starwood Capital Group has refinanced Caveness Farms, a 288-unit property in Wake Forest, N.C. Located on 37 acres at 1760 Pasture Walk Drive, the community encompasses 22 buildings completed in 1997. The amenity list includes a gym, business center, playground and swimming pool. The unit mix has one- to three-bedroom apartments ranging between 845 and 1,475 square feet.
5. DEAL – Knightvest Capital pays $51 million for Class B asset.
Abacus Capital Group sold Retreat on Lake Lynn, a 344-unit property, after three years of ownership. The buyer funded the acquisition with a $38.5 million loan from Prudential Financial, Yardi Matrix shows. Completed in 1987, the community sits on 36 acres at 3230 Stream Side Road. The property has one- to three-bedroom apartments ranging from 772 to 1,267 square feet. Amenities include a pool, a gym and tennis and volleyball courts.