7 Sales Tips for Leasing Professionals

Multifamily Insiders has a good article about the challenges faced by leasing professionals, and they end it with seven helpful tips for developing a prospect-centered approach to leasing. Here’s three of them:

Have a conversation, not an interrogation. Too often we’re asking question, question, question, question. Interview. Interview. Interrogate. This is a very scary thing when you’re on the buying side. Have a conversation with the person that you’re talking with.

Focus on the prospective resident. Pay attention to the prospect and treat them like a person. Don’t treat them like a guest card. Don’t treat them like a tour. Don’t treat them like a number. Focus on them, pay attention to them, and listen to what they are saying. Interact with them the way you would want to be treated if you were in their situation. Make them feel like they matter, and you’ll see a tremendous difference.

Start and finish the tour strong. Your prospective resident will be impacted most by what you do at the beginning of the tour (it “frames” the rest of the tour) and the last thin you do (it’s what they’ll most likely remember).

You can find the rest of the tips here.

MHA Brokers Two Apartment Sales in Triad

From the press release:

Multi Housing Advisors (MHA) has brokered the sales of two apartment communities in North Carolina’s Triad region totaling $27.1 million. The two transactions include Peak Capital buying the 192-unit Spring Forest at Deerfield in Mebane from Cottonwood Residential and an undisclosed buyer purchasing the 294-unit Chesterfield in Winston-Salem from Brown Investments. Marc Robinson, Jordan McCarley and Watson Bryant of MHA’s Charlotte office represented the sellers in both transactions.

Utah Company Expands Its Triad Footprint, Buys Two Greensboro Properties

RealSource, based in Salt Lake City, Utah, has purchased two apartment communities with a combined 448 units for a total of $27.7 million. The Triad Business Journal carried the story earlier this week:

Salt Lake City-based RealSource purchased Friendly Ridge Apartment Homes, a 216-unit complex on St. Croix Place, for $12.5 million and spent $15.2 million on The Park at Oak Ridge, a 232-unit complex on Old Oak Ridge Road…

RealSource plans to invest $3.25 million in upgrades and repairs at The Park at Oak Ridge, and to spend $2.5 million enhancing Friendly Ridge.

The bulk of that cost will be spent on upgrades, with a focus on interior improvements in the one-bedroom and two-bedroom units that make up each community, he said. Anderson said a contractor has not yet been selected for the work.

Foreign Investor Part of Hawthorne at Bridford Purchase

A January 7, 2016 press release provides details about the recent sale of Hawthorne at Bridford:

Lowe Enterprises Investors (“LEI”), in joint venture with a foreign investment client, has acquired Hawthorne at Bridford, a 264‐unit Class A gated apartment community located at 598 Eagle Road in Greensboro, North Carolina.

“Hawthorne at Bridford is centrally located near the primary Greensboro employment corridor. Greensboro is a strong market that benefits from a diverse and expanding employment base. The property presents an opportunity to acquire a top quality asset in a strong and growing market,” said Bleecker P. Seaman, co-CEO of LEI.

The phased development of Hawthorne at Bridford began in 2012. The first two phases, containing 216 units, are currently 97 percent occupied. The final 48-unit phase was completed in December and is now actively leasing. The property is designed with 11 three-story residential buildings set on a 19.8 acre property…

John Gaghan led the investment team for Lowe Enterprises Investors. Greystar has been retained to manage Hawthorne at Bridford.

Five Triad Apartment Communities Start 2016 Under New Ownership

An article in the Triad Business Journal provides an overview of five apartment community sales in the Triad at the end of 2015:

Deerwood Crossing Apartments (Winston-Salem), now known as Twin City Apartments, is a 285-unit community that sold for $11.4 million.

Westgate Terrace Apartments (Winston-Salem), is a 42-unit community that sold for $2.53 million.

Ridgewood Apartments (Greensboro), a 14-building, 160-unit community sold for $5.4 million.

Tucker Street Apartments (Burlington), a 31 building community built in 1972 sold for $2.6 million.

Beaumont Avenue Apartments (Burlington), a 40 building community built in 1972 sold for $2.6 million.

More details about the transactions can be found here.

Six Recent Piedmont Triad Apartment Transactions

Multi Housing Advisors (MHA) recently issued a press release about six Triad-area transactions they brokered:

Multi Housing Advisors (MHA) has brokered six sales of apartment communities in North Carolina’s Triad Region totaling $37.1 million. Marc Robinson, Jordan McCarley and Watson Bryant of MHA’s Charlotte office represented the sellers in all six transactions. The transactions included WB Ventures purchasing the 204-unit The Morehead in Greensboro from Midway Investors for $11.2 million; QR Capital purchasing the 120-unit Battleground Oaks in Greensboro from Carlisle Residential for $6.7 million; Harvest Investments purchasing the 140-unit The Colony in Burlington from Titan Capital for $6.3 million; Tallahassee Apartments LLC purchasing the 160-unit Ridgewood in Greensboro for $5.4 million; a private individual purchased the 108-unit, 324-bed Collegiate Commons in Greensboro for $4.2 million; and Engineering Partners purchased the 80-unit The Hedges from The Hedges of Greensboro LLC for $3.3 million.

Another Massive Apartment Deal

According to this article in the Wall Street Journal, Sam Zell’s Equity Residential has sold a 23,000-unit portfolio to Starwood Capital Group for $5.4 billion. From the article:

This deal is Mr. Zell’s biggest since 2012. Back then, Equity Residential was a buyer. The firm teamed with AvalonBay Communities to purchase apartment giant Archstone for $6.5 billion, not including about $9.5 billion in debt.

But Equity Residential has become “less aggressive as buyers of assets” in recent years, Mr. Zell said in an interview late Friday. Instead, it is getting out of suburban markets and into downtown urban centers, where young people are moving and where it is more difficult to build, he said.

Most of the 23,300 apartment units in the deal, roughly a quarter of Equity Residential’s total, are low-rise and mid-rise units in suburban markets in and around southern Florida, Denver, Seattle, Washington, D.C., and Southern California. Analysts expect a significant amount of new supply to be concentrated in those markets in coming years.

“There’s an awful lot of apartments under construction,” Mr. Zell said, “and the majority of them are garden apartments in suburban areas.”

Meanwhile, on the other side of the deal sits Starwood, which is betting big on the apartment market. In the last year it has purchased or put under contract 67,800 units. Why? Here’s the money quote from the firm’s CEO:

“This is the healthiest U.S. apartment market in my lifetime,” Mr. Sternlicht said in an interview Friday. “We don’t see that trend reversing.”

 

Lincoln Green Sells for $44.1 Million

Bell Partners recently sold Lincoln Green for $44.1 million but will continue managing the property. From an article in the Triad Business Journal:

A Texas-based firm has purchased one of Greensboro’s largest apartment complexes for $44.1 million.

Lincoln Green, a 616-unit complex located at 2205 New Garden Road, was purchased Thursday by Elite Street Capital, a real estate investment firm located in Houston and Tel Aviv, Israel…

“This disposition is another example of how Bell is rotating out of older assets in smaller markets and targeting newer assets in larger markets,” said Bell Partners spokeswoman Laurenn Wolpoff.

Last month, Bell purchased a 164-unit complex in Marlborough, a suburb of Boston, for an undisclosed price, bringing the total number of units it owns and manages in the Greater Boston suburbs to 844.

Bell Sells Three Triad Properties as Part of Larger Deal

Bell Partners recently sold eight properties for $140 million to a New Jersey-based firm and three of those properties are based in the Triad:

A New Jersey-based firm has purchased three Triad apartment complexes from Greensboro-based Bell Partners Inc., an apartment investment and management company, for $67 million.

The sale of Steeplechase at Adams Farm and Park Forest in Greensboro and Deep River Pointe in High Point was part of a larger sale by Bell of eight properties — five in Arkansas — for more than $140 million. Bell Partners will continue managing the North Carolina properties.

According to the article Bell will continue to manage the three Triad properties.

The Story Behind the Sale of CityView

According to this piece on Triad Business Journal’s site, Signature Property Group’s sale of CityView to The Carroll Cos. was motivated by their need to free up capital for projects outside of the Triad:

The sale, a first for Signature in its 25 years of business, lifts constraints on cash resources, allowing the group to develop four more properties in the year ahead, said owner Frank Auman.

“The main reason we’re selling it is to fund expansion outside the Triad,” he said. “We currently have three properties under contract between Raleigh and Burlington, and we are in negotiations with a fourth in the Raleigh area. We plan to start two this fall and two next spring.”

He declined to provide further information about those plans.

The Carroll Cos motivation for the purchase seems to be deepening its presence downtown:

Carroll said the acquisition will help The Carroll Cos. take advantage of a “variety of synergies and operating efficiencies that come from owning three projects just blocks from each other in downtown.”

CityView joins Carroll’s other major downtown projects: Center Pointe, 98 luxury condominiums in a 17-story toweron North Elm Street; and Bellemeade Village, a large-scale mixed-use project planned near NewBridge Bank Park. Bellemeade Village, a $50 million project that will include a Hyatt Place hotel and 300 upscale apartments, could see site work begin “any moment,” Carroll said Wednesday.