Research Triangle Gets Trio of New Affordable Communities

National integrated real estate firm Pratum Cos. has partnered with non-profit affordable housing developer DHIC to complete construction and commence lease-up at three newly constructed communities located in North Carolina’s Research Triangle.

The communities, totaling more than 450 units, are located in Apex, Raleigh Durham. The properties are the 164-unit Stone Glen, the 156-apartment Milner Commons and the 132-residence Hardee Street, respectively.

Donna Walker, executive vice-president of operations at Pratum Cos., told Multi-Housing News that Stone Glen, a new lease-up project for DHIC, faced slower-than-expected traffic for its Area Median Income units.

“Despite a strong initial launch, demand for some of the AMI units did not meet projections, creating concerns around occupancy rates and revenue targets,” Walker said. “This presented a challenge in reaching the target audience within the community and broader region. To address this, Pratum took a multi-faceted approach, partnering with key local organizations and community leaders and expanding marketing efforts.”

Among the initiatives undertaken were partnerships with local housing authorities, outreach to local businesses and first responders, collaboration with local government, engagement with state agencies and an expanded digital marketing campaign.

Property details

Stone Glen features four different layouts offering one-, two- and three-bedroom apartments. Features and finishes include laundry hook-ups in each unit. Community amenities include a covered picnic area with grilling stations. Rents range from $1,293 to $1,778 for families between 40 and 70 percent of the AMI.

Milner Commons is an age 55-plus community featuring one- and two-bedroom residences. A reflection room with stained glass is among common-area amenities. Now pre-leasing, rents start at $875 for those with incomes at or below 60 percent of AMI for Wake County.

Hardee Street is a community expected to complete in March of next year. It features one-, two- and three-bedroom apartments. A business center with free internet access is among the common-area amenities. It will be reserved for families at 60 percent of AMI. Starting rents, which include high-speed internet, range from $440 to $1,320, depending on household income and apartment size.

Raleigh market’s affordable shortage

The Raleigh multifamily market’s surge of newly constructed communities has led to a short-term oversupply in the market. Yet still, the area is in need of more affordable housing options.

The Raleigh-Cary metro suffers from a deficit of more than 195,000 affordable homes for extremely low-income households. More than 70 percent of extremely low-income renters are severely cost-burdened and spend more than 50 percent of their income on housing. The three new communities deliver a lifeline for essential workers in the metro, including teachers, first responders and healthcare professionals who increasingly find they can no longer afford homes in the communities they serve.