ATLANTA-Chicago-based AMLI Residential and Northwestern Mutual Life Insurance Co. of Milwaukee are joint venturing their seventh metro area multifamily project with the construction of AMLI Perimeter Gardens. The 245-unit, 234,869-sf planned community will be in the Dunwoody neighborhood of northeast Atlanta.

The development site for the estimated $20-million venture is on five acres at Shallowford Road and Dunwoody Park. The community will have 155 two-bedroom homes and 90 one-bedroom homes. They will average 956 sf of living area with the first apartments expected to be ready for occupancy in second quarter 2006, says AMLI executive vice president Phil Tague.

Tague says the apartments are targeted at "people who work in the Perimeter Center office market" and who would enjoy the urban loft units component of the project. The projected average rent range wasn't disclosed.

Under terms of the newly signed joint venture agreement, 75% of cash flow and sales will go to Northwestern Mutual and 25% to AMLI "until certain benchmarks are achieved," Tague says. "At that point, AMLI will receive an increased portion of the cash flow and residual interest." AMLI will provide development, construction, leasing, property and asset management services for AMLI Perimeter Gardens.

"This transaction continues AMLI's declared strategy to selectively co-invest with institutional investors for the development, acquisition and management of class A multifamily apartment communities," Tague says. "By strategically leveraging the company's equity through these alliances, AMLI believes the return on its investment will be significantly enhanced."

AMLI and Northwestern have joint ventured a total of nine projects nationwide to date. The AMLI portfolio includes 75 apartment communities containing 28,356 apartment homes, with an additional 827 for-rent units under development or in lease-up at three locations. Northwestern Mutual has $21 billion invested in its real estate portfolio.