Investors Gaga Over Multifamily

Blake says that 2012 and 2013 were dominated by new urban infill properties showing tremendous effective rent growth and correspondingly high sale prices—that would be the Class-A—setting records seemingly with each new sale in the major transaction MSAs (Charlotte, Raleigh, Charleston, Greenville). “As a result, performance in closer-in Class-B properties has followed suit, and demand for well-located, value-add opportunities is very strong.” (If it's a property, someone wants it.)

Recently Blake, along with colleagues Dean Smith, John Heimburger, and Sean Wood, repped Grubb Properties in its sale of the Class-A Apartments at Quarterside in Uptown for more than $31M; not long before that, ARA brokered the sale of Beacon Hill, a Class-B property in Charlotte for nearly $20M. Now, Blake says, ARA is completing the marketing process on a well-located value-add in South Charlotte, where very few properties ever come to market, and “we'll complete nearly 50 tours in the 30-day marketing window.” (That's one way to start exercising for bathing suit season.)

With vacancy as low as it currently is in the metro Charlotte industrial market, leverage has shifted toward the landlord's side of the negotiating table, CBRE's Frank Larsen tells us. “Large blocks of quality industrial space are a rare commodity, and landlords are being selective about to whom they choose to lease.” (More selective than The Bachelor.) Recently Frank, along with colleague Steve Lowe, repped Brooks Equipment Co in its 65k SF lease renewal at 2700 N Hutchinson McDonald Rd in Crosspoint Business Center. The current location, Frank says, turned out to be the best one.

A major push is underway for new and improved infrastructure in University City, Darlene Heater tells us. Darlene, who recently became University City Partners' executive director, says that the area is “embracing unprecedented investment in infrastructure by the city, county, and state. We're working with them to become a more transit-oriented community.” For instance, city planners recently laid out their proposals for three future transit stations in the area—their goals to improve walkability, provide more green space, and improve connections with the UNC campus.