Harbor Group | January 28, 2022
Affiliates of Harbor Group International, LLC ("HGI"), a privately owned international real estate investment and management firm, today announced the acquisition of an 8-asset portfolio of workforce housing communities in North Carolina's Research Triangle for $475 million. The Newmark team of Jason Kon, Henry Stimler and Bill Weber represented the seller, Dasmen Residential LLC, and facilitated the debt for the acquisition.
Located throughout the Research Triangle, an area known for its research universities and STEM companies, the portfolio comprises 2,356 units and features four communities in Durham, three communities in Raleigh and one community in Charlotte. HGI plans to invest approximately $21.9 million across the properties to renovate 25% of the interior units. Harbor Group Management Company, the property management arm of HGI, will assume management of the entire portfolio.
The Research Triangle is an important target market for HGI as we seek to acquire well-located communities in high-growth markets, As the area's high-paying STEM jobs continue to attract new residents, we see opportunity to leverage our expertise in owning and operating similar communities in the region to generate rent growth amid increasing demand for housing."
Richard Litton, HGI.
We are proud that we were able to bring these two great firms together to do this unique and large off-market transaction. Dasmen entrusted the Newmark team to execute this deal in a very quiet and select manner, culminating in a great outcome for both parties."
The Raleigh-Durham properties within the portfolio have direct access to Research Triangle Park, placing residents in proximity to over 22.5 million square feet of office and lab space and more than 275 businesses. Since 2020, more than 9,000 jobs have been created in the Research Triangle area, driven by the expansion of technology and life science companies, with major employers including Bayer Crop Science, Cisco, Biogen and IBM. Apple's first East Coast campus is currently under development in Research Triangle Park, and is projected to bring an additional 3,000 jobs to the area.
HGI is an active investor in the southeastern U.S. markets. With the addition of the Research Triangle portfolio, the firm currently owns and manages nearly 5,000 apartment units in North Carolina.
About Harbor Group International
Harbor Group International, LLC, and its affiliates control an investment portfolio of $18 billion including 4.9 million square feet of commercial space throughout the United States and the United Kingdom and 60,000 apartment units in the United States. In addition to its corporate headquarters in Norfolk, Virginia, HGI maintains offices in New York, Baltimore, Los Angeles, and Tel Aviv.
About Dasmen Residential LLC
Dasmen Residential LLC is a privately held real estate investment and management firm that owns and operates multi-family properties in major cities throughout the United States. We make opportunistic investments in growth markets and employ a range of strategies to create value and sustain long term asset appreciation.
Newmark Group, Inc. (Nasdaq: NMRK), together with its subsidiaries ("Newmark"), is a world leader in commercial real estate, seamlessly powering every phase of the property life cycle. Newmark's comprehensive suite of services and products is uniquely tailored to each client, from owners to occupiers, investors to founders, and startups to blue-chip companies. Combining the platform's global reach with market intelligence in both established and emerging property markets, Newmark provides superior service to clients across the industry spectrum. Newmark generated revenues in excess of $2.5 billion for the trailing twelve months ending September 30, 2021. Newmark's company-owned offices, together with its business partners, operate from over 160 offices with approximately 6,200 professionals around the world.
REAL ESTATE TECHNOLOGY
WHI Real Estate Partners | May 07, 2021
WHI Real Estate Partners L.P. confirmed recently the final closing of WHI Real Estate Partners V, L.P, with $385.0 million in capital contributions, reaching the Fund's goal of $325.0 million.
WHIREP plans to invest the Fund in a diverse variety of commercial, residential, hotel, office, and other assets around the United States, following in the footsteps of WHIREP's predecessor funds' opportunistic investment strategy.
A global community of investors, including university endowments, foundations, health care companies, wealth management firms, family offices, among others, contributed money to WHIREP V.
WHIREP now plans the Fund to purchase real estate properties with an aggregate cost of $1.0 - $1.1 billion.
The Fund's sole placement agent was PJT Park Hill, a corporate group of PJT Partners Inc. Kirkland & Ellis LLP represented the general partner in connection with the offering of Fund interests.
About WHI Real Estate Partners
WHI Real Estate Partners L.P. is a private investment company focusing on repositioning middle-market real estate properties throughout the United States. WHIREP actively manages nearly $1.1 billion in assets on behalf of a select group of university endowments, foundations, health care systems, wealth management agencies, private offices, and others.
REAL ESTATE TECHNOLOGY
CREC | June 17, 2021
CREC Real Estate, LLC announced today that it has partnered with Rincon Capital Partners to buy NEXTLoft Apartments, a 148-unit Class B+ multi-family property in Bluffton, South Carolina. The transaction's terms were not disclosed.
The three-story, two-building complex is located at 1376 Fording Island Road (or US 278, which gives access to Hilton Head Island) in Bluffton, South Carolina, 20 miles north of Savannah, Georgia. It is part of the Hilton Head/Bluffton/Beaufort metropolitan region. Over the last 20 years, the surrounding area's population has increased by more than 50%, primarily due to an inflow of retirees, generating housing demand for service industry workers who staff the area's resorts, shops, and restaurants.
NEXTLoft, which was constructed in 2000 as an extended stay hotel, had a significant makeover in 2019 and was transformed into a boutique apartment community. The studio and one-bedroom apartments include nine-foot ceilings with crown molding, wood cabinets, stainless steel appliances, and renovated bathroom vanities. The 98% community has a clubhouse, swimming pool, dog park, and a state-of-the-art fitness facility. In addition, CREC and Rincon plan to upgrade the roof, HVAC, and asphalt and install outdoor amenities and security features such as a central outdoor kitchen/grill area, a locker for package deliveries, and a community-wide keyless FOB access system to improve residents' safety.
The building is close to outlet shopping complexes, big-box retail and grocery stores, a public golf course, downtown Bluffton's eateries, boutique shops, and offices.
CREC, which manages more than $1 billion in real estate assets, specializes in multi-family real estate investments in secondary and tertiary cities around the United States. Rincon is a vertically integrated, full-service real estate and property management firm based in Phoenix. CREC and Rincon have previously worked together on three joint projects, two in Tucson and Phoenix.
CREC Real Estate, LLC (CREC) is a private investor in commercial real estate. Based in Columbus, Ohio, the firm invests through institutional funds and private placements and manages more than $1 billion in real estate assets. The firm specializes in the multi-family, hotel, and senior housing sectors in secondary and tertiary locations around the United States, utilizing a value-add strategy. CREC has completed approximately 50 investments throughout 17 states since its establishment in 2001.
Rincon Partners is a full-service, vertically integrated real estate investment and management firm. Rincon is based in Phoenix, Arizona, with acquisition offices in Atlanta, GA, and Dallas, TX, and focuses on opportunistic and value-add multi-family and self-storage commercial real estate.