CLEVELAND-Forest City Enterprises Inc. plans a large boost to its military housing program, expanding to 12,000 units nationwide. The company says it will spend $672.6 million in development costs for demolition, renovation and construction of about 4,647 new military family homes. The single-family and multifamily properties will be on/or near bases in Washington, Colorado, Hawaii and Tennessee.
Forest City Military Communities LLC has signed an agreement to buy and manage American Eagle Communities' interest in 2,985 Navy housing units in neighborhoods that surround three US Navy installations in the Puget Sound area of Washington. Forest City will spend $169 million in development costs.
The company has also agreed to design, develop and build military family housing units at the Air Force Academy in Colorado Springs, CO for $80 million. The project includes demolishing 814 units, renovation of 301 units and the construction of 34 new homes.
In Hawaii, the company is going to start on its second phase of Marine Corps housing on Oahu. The company will demolish 984 units and build 759 replacement homes, for about $385 million. The project will bring the company's built and managed properties in Hawaii to 6,568 units, including multifamily homes overlooking Kaneohe Marine Corps Base and Pearl Harbor.
Finally, the company is negotiating for new family housing at Naval Activities Station Mid-South in Millington, TN, which would be the firm's second phase of Navy housing in the area. The company would take over 402 units, and of these, would demolish 152, build 73 new units and renovate 58 units, for about $38.6 million.
A Forest City official did not return a call for comment. In a statement Ronald Ratner, president and CEO of Forest City Residential Group, said the military housing business has grown a lot in the past three years. "We are honored to have the opportunity to create and manage modern housing and communities that enhance the quality of life for our nation's service personnel and their families."
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