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The southeast is booming with up-and-coming locations of culture and lifestyle, namely Atlanta, Georgia and Charlotte, North Carolina. With average population and job growth rates well above the national average, these locations are expected to house the staffs of many new companies within currently thriving industries. Looking to constantly find opportunities to expand its real estate portfolio, SCOA recently invested in more residential properties by collectively investing $39.3 million in residential development, which will result in communities that boast more than 500 new homes.
“Both investments benefit the communities of Atlanta and Charlotte by producing several hundred construction related jobs during development, significant property tax revenue to the local jurisdictions, and more than 500 homes for families and individuals to enjoy for multiple future generations,” said Joe Zagranski, Vice President and Head of SCOA’s Residential Real Estate Unit. “In addition to contributing to SCOA’s Residential Real
Estate team’s overall investment strategy, both investments also support Sumitomo Corporation’s Mission Statement by creating new value and contributing broadly to society.”
Zagranski noted that the Charlotte site is located in the NODA area, a historic arts and entertainment district with several local neighborhood restaurants, craft breweries, and retailers. He also mentioned that Atlanta has expanded outside of the city limits along the major highways, creating several large job centers close to popular residential areas.
“Charlotte also recently expanded its light rail transportation system into the NODA neighborhood and the new 25th street station is only a 4-minute walk from our site, and a less than ten-minute ride to downtown,” Zagranski noted. “NODA is less than two miles from downtown. It’s a desirable and walkable residential area of Charlotte.”
The development will create 273 apartment homes and rents will average of about $1.80 per square foot. This project is designed to include 4,600 square feet of retail per the city regulation of Charlotte.
“The Atlanta site is located inside the suburban city of Woodstock, Georgia, approximately 28 miles northwest from downtown Atlanta,” he also said. “Woodstock is a large job center with 28,000 jobs and is also a short drive to a few other large suburban job centers. Our site is elevated and will provide spectacular views of the nearby mountains and forests. We are also less than 4 miles from downtown Woodstock, a prime location because of its restaurants, bars, walking trails, public library and city offices.”
“The development site is located in the northwest suburban area which is also adjacent to a retail center that features many notable stores such as Super Target, Home Depot and Lowe’s.”
“The average rent for each unit totals to about $1,370, or about $1.30 per square foot. Based on a market study and the demographics of the renters of suburban projects, SCOA will be assuming a target market of primarily single or double-income-no-kids (DINKS), 30- to 40-year-old persons who commute to work near the two highways.”
SCOA’s tradition in planned communities and apartment complexes reaches back decades, with projects spanning the country from coast to coast, but Zagranski noted that their mission does involve an understanding that these projects become the places that people call home.
“Creating a place where families and individuals live, work, and play is always exciting and challenging,” he explained. “It’s more than anticipating a location where people want to live and creating high quality apartment homes, amenities, and floorplans. We also program several events and opportunities for our tenants to interact with each other such as happy hours, pool parties, Halloween, Super Bowl, and holiday events, as well as fitness classes, volunteer opportunities, and more. The most exciting part of these two projects and all projects developed by the Residential Real Estate team is seeing our vision of creating a community come to life.”
Hiroaki Murata, SVP and General Manager of SCOA’s Materials, Supplies and Real Estate Group, said the projects within this business run parallel with Sumitomo Corporation Group’s ‘Six Material Issues to Achieve Sustainable Growth with Society.’ He sees these issues as one important factor in both business strategy development and the decision-making process for individual businesses in general.
“Our Materials, Supplies & Real Estate Group works toward contributing to the development of local communities and industries through these apartment developments. We do that by supplying the best quality apartments in these areas, along with the most recent amenity packages, so we can help the residents in these local communities realize a life of abundance.”
For more information, contact Joseph Zagranski at: joseph.zagranski@sumitomocorp.com
