PA-based Morgan Properties has closed on the $323 million acquisition of a portfolio of multifamily communities across the Carolinas.
The nation’s fifth largest apartment owner and operator acquired 18 communities encompassing 3,256 units in North and South Carolina. The sellers were affiliates of Threshold Capital of West Des Moines, Iowa. Cushman Wakefield’s Marc Robinson was the lead broker.
“Despite 2020 being an unprecedented year, this acquisition shows our continued confidence in class B, value-add multifamily fundamentals, the strength of our business and talented team, and our eagerness to grow our portfolio,” said Jonathan Morgan, President of Morgan Properties.
“The Carolinas are fast-growing markets that offer great access to major employment hubs. We are excited to further expand our presence in these key markets, provide employment opportunities at a critical time in our economy, and enhance the living experience for the thousands of residents who call these communities home.”
The Carolinas portfolio is primarily concentrated in North Carolina with 13 properties totaling 2,243 garden-style apartments ocated in or near Charlotte.
The communities include Village at Brierfield, Wexford and Sharon Pointe in Charlotte; Parkway Station, Trinity Station and Waters Edge in Concord; Kannon Station and McClain Heights in Kannapolis; Woodbrook in Monroe; Alexander Station, Ashton Woods and Lakewood in Salisbury; and Huntersville in Huntersville.
There are three additional communities encompassing 562 units that are located in Winston-Salem: Highland Ridge in High Point; Clemmons Station in Clemmons; and Enclave at North Point.
The South Carolina portfolio also consists of three multifamily communities with 583 units in Rock Hill, Gaffney, and Anderson: Gable Oaks, with immediate access to retail and I-77, 1022 West, located near US Highway 29 and I-85, and Station 153.
The transaction takes Morgan Properties’ unit count in the Carolinas to nearly 5,000 units and their national portfolio to more than 78,750 units.
Through the acquisition, the company will maintain over 70 existing jobs while creating 10 new regional management positions to be based in the Carolinas.
Morgan Properties also plans to invest an additional $20 million into renovations and amenity upgrades at the properties.
“The Carolinas portfolio presents tremendous opportunity for Morgan Properties to expand its footprint in the Carolinas and do what it does best: bring our top-level service and value-add amenities to residents seeking an affordable but exceptional living experience,” said Jason Morgan, Principal of Morgan Properties.
“As a best-in-breed class B owner/operator, we’ll continue to target investment opportunities in these markets and nationally where our operational expertise can quickly add value for residents and investors.”