ATLANTA—Madison at River Sound, a 586-unit multifamily community in the Atlanta suburb of Lawrenceville, GA, just sold for $58.3 million. B&M Management and Madison International Realty sold the multifamily asset to Investors Management Group.
Shea Campbell and Kevin Geiger of CBRE's Southeast Multifamily Group represented the sellers. The multifamily property has frontage along Highway 316 and is located within walking distance of Georgia Gwinnett College, the fastest growing four-year public college in the state.
“The market in and around Atlanta is in the best shape it has been in years,” Campbell tells GlobeSt.com. “When you look at the level of activity in 2010, where there was ultimately no activity in Atlanta on the multifamily front, compared to 2014 with over $4.5 billion of overall activity, it's apparent that the state of the market is beyond stable and on an incline.”
Indeed, CBRE has identified that Atlanta's multifamily market is healthier than it has been in nearly a decade, hitting levels of activity that exceed pre-recession figures. As the market continues to thrive, the firm predicts multifamily sector in Atlanta is poised for success in 2015.
“Considering exponentially more infill development and a large market of renters in Atlanta, coupled with a projected 8% rent increase in suburban Atlanta markets such as Lawrenceville, multifamily will continue to provide sound investment opportunities,” says Campbell. Atlanta reports a year-over-year average rent increase of 5.3%—the strongest annual increase since 2005.
As for Madison at River Sound, the multifamily asset has apartment and community amenities that made it an attractive investment, including wood burning fireplaces, attached garages with private driveways, walking trail, and sand volleyball court. The seller claims the units offer the largest floor plans in the area.
“This transaction illustrates the investor appetite for quality, multifamily assets in the northern suburbs of Atlanta,” Campbell said. “With limited new supply in submarkets like Lawrenceville, investing in value-add assets such as Madison at River Sound is well-timed. The community is ripe with opportunity to increase rents with the proper combination of interior, exterior and amenity upgrades.”
In other Atlanta multifamily news, Carroll Organization just snapped up The Manor at Buckhead in joint venture with AIMS Real Estate, a business unit within Goldman Sachs Asset Management. Financial terms of the multifamily deal were not disclosed. The Manor at Buckhead is a luxury class A 301-unit multifamily community in the Buckhead submarket, which is centered directly between the business district and high-end residential neighborhoods.
© Touchpoint Markets, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to asset-and-logo-licensing@alm.com. For more inforrmation visit Asset & Logo Licensing.
