No Cookie-Cutter Approach Here

Consumers, including many baby boomers, are going through a shift in priorities. For many years, the end-goal was to buy a home and settle down, but now we’re seeing more and more people opting for the flexibility and convenience of an urban rental community. So says Ed Allen, SVP of development at the Related Group, who recently chatted with GlobeSt.com about the company’s expansion.

GlobeSt.com: I know The Related Group is preparing to deliver a new ultra-high end rental tower in Atlanta, GA, the company’s first project in the state. Can you tell me first what attracted the company to the state and the Atlanta area in general? And why now?

Ed Allen: Our rental division is in the middle of a major expansion. We started with several jobs throughout central Florida and quickly noticed there were strong opportunities throughout the entire Southeastern US.

The Atlanta market was especially interesting because of the steady rate of employment growth, particularly in well-paying fields like finance and technology. More importantly, we felt there was a pent-up demand for this kind of premium rental product amongst well-paid millennials and baby boomers looking for both the flexibility of rentals and the level of luxury typically reserved for top-tier condominiums. Our Icon brand checks-off both boxes and brings a totally new type of product to the city.

We’re confident this is the first of many Related jobs in Georgia.

Allen: Can you tell us a little more about the company’s recent expansion? I understand that aside from Atlanta, you’re now also building in the Southwest as well as in Tampa and Orlando.

We like to be in areas with 20,000 new jobs annually or more. And as it turns out, there are quite a few cities throughout the country that hit that mark.

We started building rentals in Miami in 2011, then spread to Broward County, Tampa Bay, Orlando and Atlanta’s Midtown and Buckhead neighborhoods. Most recently, we’ve opened a Southwestern office, which will allow us to expand into the booming Texas, Arizona and Colorado markets.

Consumer behaviors and rental trends can vary greatly from city to city and so we go to great lengths to tailor each of our jobs to the communities and micro-communities that surround them. More importantly, we make sure to have project managers and executives that are familiar with each market and their respective preferences and intricacies.

Regardless of the market, our goal always stays the same: enhance and complement those qualities that define the respective city and/or neighborhood.

GlobeSt.com: I know the company has mentioned a focus of targeting older, more established professionals for new ultra-high-end rental properties. Can you tell me more about that and why you are seeing that as an opportunity?

Allen: Consumers, including many baby boomers, are going through a shift in priorities. For many years, the end-goal was to buy a home and settle down, but now we’re seeing more and more people opting for the flexibility and convenience of an urban rental community. This is fueled in part by baby boomers looking to downsize, but it’s also a part of the culinary and lifestyle boom that’s taking place across many metropolitan areas around the country.

This change in consumer behavior has generated an entirely new category of rental property which mixes the staples of multifamily living with the luxury and bespoke service found in luxury condominiums. This includes everything from an on-site concierge, to top-tier amenities like fitness centers and yoga studios, to integrated retail components like Icon Midtown’s built-in Whole Foods.

We’re confident this segment will continue to grow and with it demand for high-end rental properties such as Icon Midtown.

GlobeSt.com: Are there certain areas that tactic might work better than others?

Allen: Of course. Demographics and income varies greatly from market to market, but we’ve anticipated this and created a variety of product types meant to resonate with different age and income groups.

Our “Icon” properties target older, more established professionals; “Manor” jobs are geared towards individuals and families somewhere around the midpoint of their careers; and “Town” projects resonate with young professionals and families. Each of these different sub brands offer the very best in location, finishes, amenities and designs, and are meant to offer our residents distinct options as they increase in family size and income.

GlobeSt.com: Is there anything I might have missed that you think our readers should know?

Allen: I’d definitely like to emphasize how much effort dedicate to tailoring our jobs to the respective market. Whereas many rental developers take a cookie-cutter approach, we treat each one of our jobs as a stand-alone development which in turn allows us to deliver a project with a curated look, feel, amenity mix, art collection, and price point.