By Malloy Peterson, vice president of marketing, Carter
ATLANTA (Dec. 28, 2010) – Carter has joined with Wood Partners and Lubert-Adler to invest in Magnolia Village Apartments, a class A rental community in Jacksonville, Fla.
The apartment community, located at 1620 Bartram Road in Jacksonville’s desirable Southside neighborhood, comprises 168 units in six buildings. The Wood Partners-led investment group acquired the complex “on a short-sale basis at a significant discount to replacement cost,” Wood Partners said today in a press release announcing the acquisition.
Carter decided to invest in Magnolia Village Apartments because of the opportunity to acquire a high-quality asset at a price well below what it would cost to replace it. Moreover, investing in Magnolia Village offered Carter the change to fortify its presence in the Jacksonville market.
“Magnolia Village presented an opportunity to acquire a class A multifamily asset at a price below replacement cost, in a market Carter believes in, with strong operating and capital partners,” said John Akin, a senior vice president in Investments & Advisory who oversees Carter’s multifamily investments. “It is the perfect complement to our recent acquisition of Valencia in Ponte Vedra.”
In September, Carter Real Estate Fund II acquired Valencia, a distressed condominium complex just outside Jacksonville. Carter is marketing the remaining available condos at Valencia and has land for the development of future units there.
Magnolia Village is a gated apartment community offering one-, two- and three-bedroom apartments as large as 1,513 square feet. The landscaped grounds include a clubhouse, resort-style swimming pool and poolside Wi-Fi access.
“Magnolia Village fits the direct center of our strategy to buy well-constructed, well-located assets in stabilized submarkets that exhibit stabilized cash flow with room for growth,” said Jay Jacobson, director of national acquisitions for Wood Partners. “We found the near-in Southside area attractive due to its infill nature, which was further enhanced by the adjacent redevelopment of a Publix grocery store that anchors a new neighborhood shopping center – a convenient amenity for our residents.”