Category Archives: CHS Multi-Family
CHS Apartment Market News
The Post and Courier highlighted the local economy’s 2016 headlines in a single article; among the highlights:
- Update on dredging of CHS harbor with the start of a single dollar from President Trump
- Boeing’s new 787-10, made exclusively in N CHS, will be a major focus of the manufacturer forward as the larger plane replaces the shorter version 787-8 made in Seattle
- More changes at CHS airport with a focus on parking to handle the increased volume
- A strong housing outlook to handle the 35 newcomers a day moving to the region
- A tightening labor market amid the 3.4% unemployment rate, the lowest since 2000
- New retailers including member-clubs such as our first BJ’s Wholesale, a Costco in Mount Pleasant, the region’s second, and another Sam’s Club, this one in Summerville
- More hotels, including the new Hotel Bennett at Marion Square downtown with rooms starting at $500/night, and another dozen hotels approved or under construction – just on the downtown Peninsula
A mixed-use development that includes apartments, a hotel, restaurants and office space are planned near Tanger Outlets in N CHS. The next step is to get approval to fill 28.5 acres of wetlands. The Post and Courier’s Warren Wise has the story here.
VTT Management, out of suburban Boston, bought five area apartment communities aggregating to some 1,043 units for a total of about $50M, making VTT the #2 private owner of apartments in Charleston. Warren Wise of The Post and Courier has the article here.
Ohio-based Lifestyle Communities and locally based The Seine Group assembled some dozen parcels at and around 44 Lines Street, today the location of AAA Downtown Storage. Development plans are unclear but are expected to be for apartments and commercial uses around some historic buildings. Warren Wise of The Post and Courier has the story here.
Sales of investment properties in the CHS region – apartments, office buildings, shopping centers and the like – exceeded $1 BILLION for the first time ever in 2015. A few highlights from our Colliers Year-End 2015 Investment Sales report:
- Multi-family led the way with over $520M in sales volume, an average price per door of $114k, with newer class A communities often exceeding $200k/unit
- Sales of shopping centers were next at $131M in 2015, averaging $133/SF, led by the Wal-Mart anchored North Pointe Plaza in N CHS at $32M, and Shoppes at Centre Pointe at $16.5M then West Ashley Shoppes at $15.5M
- Office buildings totaled $123M and averaged $214/SF; the largest building sale, at $28.4M, was that of Parkshore in West Ashley but it was to a user, MUSC. The biggest investment sale was that of 3955 Faber Place to a NY-based advisor at $13M or about $200/SF
Read all about it in our Colliers Year-End 2015 report. You can request yours by pinging me at firstname.lastname@example.org
A 130-unit senior living facility is underway on Daniel Island that will have an all-inclusive lifestyle with rents from $2,900-$4,800/month. Warren Wise of The Post and Courier has the article here, along with an update on:
- The re-zoning request for the Hughes Lumber site downtown; and,
- A new 335-lot residential subdivision in Berkeley County off Hwy 41, named French Quarter Creek
We all knew it was strong, but wow – the final figures are in from the Charlestson Trident Association of Realtors and an article from Warren Wise of The Post and Courier: total sales for 2015 were 16,202 and a median price of $229,000, up 13.7% and 6.5%, respectively. In December alone, sales were up 9%. Expert’s biggest concern – less than 5k homes are available for sale, down from 9,100 in 2010, and pricing beyond what a lot of people can afford.
CharlestonCREblog comment: This is all good news for apartment owners as the jobs growth continues, and this all means more renters.
Liberty Healthcare Management is proposing to build a 398-unit senior housing community at Midtown Avenue and Hungryneck Blvd. in Mount Pleasant. The first phase, however, will only be 66 units; build-out is not expected until 2022 and will include independent living, assisted living and memory care rooms. The 23-acre site is near the MUSC medical office building and adjacent to the 302 Haven Apartments. Warren Wise of The Post and Courier has the full story here.
Warren Wise of The Post and Courier reports on lots of development activity in the multi-family sector on and near the peninsula and downtown, and a Charlotte developer that wants to add some more, specifically an under-supplied sector – one bedroom units. The same developer also owns a 15-acre site on the Upper Peninsula where it plans an initial phase of 275 units. There are a few other projects planned, ranging from a 10-story building to a 430-bed student housing development currently under construction at the base of the Ravenel Bridge.
URS Capital Partners bought Summit Place on Ashley Phosphate Road in N CHS for its fourth acquisition in the area in the past two years. It paid $14.7M for the 226-unit community, or about $65k/unit. The buyer plans abut $2M in renovations. John McDermott of The Post and Courier has the announcement.