Build To Rent - Sale

Northmarq Investment Sales sells three build-to-rent communities in the Southeast

The deal marks the 12th build-to-rent sale by Northmarq this year

PHOENIX, ARIZONA (November 12, 2021) – Northmarq’s Build-to-Rent group marketed and sold three Build-to-Rent communities for more than $90 million last week. The communities, with 514 units in Georgia, North Carolina, and South Carolina, represent the company’s tenth, eleventh, and twelfth BTR transactions this year, and are part of the growing niche in the multifamily space. 

Isle Cottages at Myrtle Beach, Jasper Village, and Sweetwater Commons represent the growing interest from developers, investors, and residents for this growing multifamily asset type. According to Northmarq’s recently released Build-to-Rent report, the market for this product has exploded, with developers moving more projects into and through the construction pipeline in an ever-increasing number of markets. BTR properties include stand-alone apartment homes organized in a master-planned community that include resort-style amenities.  

“We were pleased to see the level of interest in these assets, which are all in fantastic markets for both baby boomers and relocating millennials. These sales also demonstrate the growth of the product from its start in the Southwest to the Southeast. Our team continues to market BTR assets across the Sunbelt and predicts continued growth in 2022,” said Trevor Koskovich, president – Northmarq Investment Sales. Northmarq started selling this product type in Phoenix in 2019 and has now sold 17 build-to-rent communities in multiple markets across the country. 

Isle Cottages at Myrtle Beach, a 99-home, build-to-rent community built in 2020, features detached single-family townhomes with attached garages, private backyard patios, and open floorplans. The property, located in Myrtle Beach, South Carolina, is less than two miles from the Atlantic coast, and near the Carolina Bays Parkway, an employment and entertainment corridor.  

The property was marketed by Trevor Koskovich and John Currin on behalf of Sands Building Group, a Myrtle Beach, SC firm that started developing BTR in 2014. St. Clair Holdings purchased Isle Cottages at Myrtle Beach property for $26.3 million. 

Jasper Village, in Rincon, Georgia, and Sweetwater Commons, in North Augusta, South Carolina were sold by Next Chapter Neighbors and  acquired by Advenir, an investor based in Aventura, Florida (Miami-Dade) that has owned and operated more than 25,000 multifamily units valued at $3.7 billion. These two assets are their first investments in the BTR space. Jasper Village, with 208 units, was acquired for $56.16 million, and Sweetwater Commons, with 208 units, was acquired for $46.56 million. Both communities were occupied at 99% at the time of sale.

Jesse Hudson, senior vice president-Northmarq’s BTR team, marketed both assets and worked with Bill Hahn, executive vice president, to arrange the sales to Advenir. “Advenir specifically chose Jasper Village and Sweetwater Commons for their first BTR assets because of the location and the quality of these communities,” said Hudson. “They intend to build a portfolio of BTR assets and leverage their in-house management company to bring additional value, knowing that the assets’ locations are poised to drive an increase in rents.”   

Northmarq is a full-service capital markets resource for commercial real estate investors, offering seamless collaboration with top experts in debt, equity, investment sales and loan servicing. We combine industry-leading capabilities with a flexible structure, enabling our national team of experienced professionals to create innovative solutions for clients. Our solid foundation and entrepreneurial approach have built an annual transaction volume of more than $37 billion and a loan servicing portfolio of nearly $76 billion. Through the 2022 acquisition of Stan Johnson Company and Four Pillars Capital Markets, Northmarq introduces clients to expanded opportunities across all major asset classes.