Hudson Capital Making Improvements at Hudson Ridge MF in Atlanta, GA
The large concentration of tech workers is likely to continue supporting the rental market across the Atlanta metro area.
ATLANTA, GA—Hudson Capital Properties, a multifamily real estate investment and development firm focused on value-added acquisitions in Southeastern US markets and a 500-unit pipeline of ground-up development projects in New Jersey, has launched a $5.4-million capital improvement program at Hudson Ridge, a 434-unit garden apartment community in the Atlanta, GA market.
“Hudson Ridge was an excellent investment opportunity for us in 2016, given the remarkable location within one of our target submarkets, as well as the strong employment growth in the area,” says Robert B. Cohen II, executive vice president of HCP. “As part of our value-add investment strategy, we conducted a thorough analysis of the asset and are investing an additional $5.4 million in a comprehensive capital improvement program.”
A major component of HCP’s investment was the opening of the new Sun Trust Baseball Park in 2017, which is now home to the Atlanta Braves and the anchor of the larger Battery mixed-use development that houses a variety of high-end dining options including Todd English Tavern, a theater and a luxurious new Omni hotel. “Beyond the array of existing positive market indicators, these amenities make the neighborhood an even more attractive location for residents,” says Cohen.
HCP’s capital improvement program at Hudson Ridge consists of interior upgrades on all one- and two-bedroom units, including new granite countertops, cabinets and appliances, along with upgraded flooring, plumbing and electrical fixtures such as USB ports in outlets and LED lights. HCP is also power washing and painting the property, reimagining the landscaping and refurbishing the spacious pool area. The company will continue to analyze additional opportunities to improve the community, which is currently 92.4%-occupied.
Completed in 1998, Hudson Ridge is in the Cumberland/Galleria submarket of Atlanta, which continues to drive healthy demographic trends with strong job and household growth. The talent and resources in Atlanta have attracted tech employers such as Keysight Technologies, Honeywell, Sage Software, KPMG’s “Ignition” center and Anthem’s IT Center.
The large concentration of tech workers is likely to continue supporting the rental market across the metro area. Additionally, the surging film industry has significantly contributed to the economy and is now supporting more than 40,000 direct jobs. Developers are eagerly betting on the large and growing base of office jobs, as well as the development of the baseball park to generate demand from renters seeking higher-end units outside the urban core. Around 650 units have been developed in the submarket annually since 2013.
HCP says it targets assets that deliver immediate value through improved cash flow by seeking properties valued at or below their replacement cost, with attractive stabilized yields, and have further potential to add value through capital improvements. The firm says it and its principals invest “considerable” equity capital into its transactions.