Multi-Family Real Estate, a Growth 2017 Investment
Our preferred partner in the multi-family real estate market made the decision to replace the proposed Madison Project with a 244-unit project located in Huntsville, Alabama. The investment manager is diligently pursuing this development and is currently targeting a land closing in late June or early July, ahead of previous projection for Madison. They have site control of the final, undeveloped parcel within a 100-acre retail, office, hotel lifestyle center known as the Bridge Street Town Centre, the most upscale retail in all of Huntsville. The investment manager is well into full design and pursuit of building permits.
Some Highlights:
Bridge Street consists of a 674,000-square foot open air lifestyle center and a 151,000-square foot power center. Major tenants include Apple Store, Belk, Dick’s Sporting Goods, Bed Bath & Beyond, Kate Spade, ULTA, Michael Kors, Sephora, DSW and White House - Black Market.
Residents will be within a short walk of a Kona Grill, Bar Louie, Bravo!, P.F. Chang's, The Melting Pot, and Monaco Pictures, a movie theater with restaurant and full bar.
Bridge Street is home to over 70 retailers, a six-story office building, and three hotels, including a Westin.
Bridge Street attracts more than 6.5 million visitors annually and has store sales in excess of $505 s/f, which is very strong for a lifestyle center.
In addition to walkability to high end retail, the subject site is located within the heart of the Cummings Research Park, the largest employment center in all of Huntsville.
Cummings Research Park is the 2nd largest research park in the nation and the 4th largest in the world. The 3,843-acre site is home to 11.8 million square feet of office, which employs more than 29,000 people in the Huntsville community.
Cummings Research Park accounts for two-thirds of the Class A office space in the Huntsville market and just less than half of the market’s total office inventory.
Redstone Arsenal, located just south of Cummings Research Park, is home to an additional 35,000 daytime employees, 1,000 active duty military, and 19,500 government civilians. The base encompasses 38,125 acres and is comprised of 19 million square feet of office and research facilities.
Bridge Street Town Centre is an excellent site for development due to the walkability to Class A retail with dozens of restaurant choices and a location in the heart of the region’s best employment center. Huntsville is a Metropolitan Statistical Area of approximately 450,000, and some of the recent and projected economic successes that make it attractive for a development include:
From 2001 to 2015, Huntsville’s population grew by over 100,000 people, which equates to 29% growth.
From 2001 to 2014, Huntsville’s GDP grew 54% which puts it in the Top 10 for GDP growth amongst major metros in the country. During the same time, the United States GDP grew by 24% and the GDP for the State of Alabama grew by 21%.
Huntsville job growth equated to 18% from 2001 to 2015 compared to the United States average of 7%.
Huntsville is projected to add 38,000 new residents from 2015-2020 which equates to an 8.5% rate over 5 years which exceeds the national average.
The Huntsville, Alabama project meets all of our partner's criteria and holds tremendous promise to be a strong performing asset.
