Harbor Group to Manage 4,200-Unit VA Multifamily Portfolio

NORFOLK, VA-Harbor Group Management has landed a new management assignment for an approximate 4,200-unit multifamily portfolio in southern Virginia. The owner is Great Atlantic Management, a local company from which Harbor Group acquired another, separate multifamily portfolio earlier this year for $165.9 million.

“This transaction has nothing to do with that earlier deal except for the fact that it gave Great Atlantic a chance to see what we can do,” Robert S. Friedman, president of Harbor Group Management Co., tells GlobeSt.com.

In the short period after it acquired the portfolio, he says, occupancies of some of the properties grew between 5% to 8% and the overall curb appeal of the portfolio was enhanced. “We are not buying these properties and we are not paying for the book of business,” Friedman adds. “We are just assuming the management rights.” Among the benefits of the deal, Harbor will realize greater management efficiencies in the properties it acquired from Great Atlantic.

The portfolio consists of 21 properties and approximately 120,000 square feet of commercial space. The buildings are located throughout southern Virginia--in Hampton Roads, Williamsburg and Richmond. The portfolio’s management will be fully transitioned to Harbor Group by the end of the month.

Great Atlantic Management is exiting the property management business after having sold off most of its assets, according to Aubrey Layne, president of Great Atlantic Management.