August 13, 2021
CRC Adds To North Carolina Multifamily Portfolio With $76 Million Purchase in Wilmington
The Reserve at Mayfaire, an upscale 264-unit multifamily community was acquired on behalf of Continental Realty Fund V, a $210.8 million private equity Fund that has purchased 12 assets
BALTIMORE, MD (August 13, 2021) – Continental Realty Corporation (CRC), a Baltimore-based real estate investment and management company, has announced the expansion of its North Carolina multifamily portfolio with the acquisition of The Reserve at Mayfaire, an upscale 264-unit community located at 1411 Parkview Circle in Wilmington, for $76 million. Formerly owned by State Street Companies, the garden-style community is comprised of 12, three-story buildings and features resort-style amenities. The community was 99% leased at the time of this off-market sales transaction.
The asset was purchased on behalf of Continental Realty Fund V, L.P., a $210.8 million private equity fund focused on acquiring value-add retail and multifamily properties in the Mid-Atlantic and Southeast regions. This acquisition represents the fourth multifamily community acquired in the Southeast by the Fund, following this summer’s purchase of Two Addison Place, a 325-unit multifamily community in Savannah, Georgia. The Fund has now acquired 12 assets overall since it was formed in 2019.
With this acquisition, CRC’s North Carolina multifamily portfolio expands to six communities encompassing over 1,150 units, including The Edison Lofts, St. Mary’s Square and The Village Apartments in the Raleigh area and The Flats at Ballantyne and Park & Kingston in the Charlotte region.
Acquisition represents CRC entry into Wilmington submarket
“The Reserve at Mayfaire enjoys a one-of-a-kind location in Wilmington and is in outstanding physical condition due to expert maintenance efforts of State Street Companies, the former owner. The Reserve at Mayfaire makes an excellent addition to our portfolio and adds to the critical mass of properties we continue to assemble based on our strong local relationships and growing market knowledge that will further enhance overall operational efficiencies,” explained JM Schapiro, CEO of Continental Realty Corporation.
“Several fundamentals attracted us to the Wilmington submarket, led by the ongoing exponential growth in population and the emerging employment opportunities in the finance, technology, retail, hospitality, high-skilled manufacturing, and healthcare fields,” stated Ari Abramson, Vice President of Acquisitions for Continental Realty. “The Reserve at Mayfaire is genuinely an extraordinary asset and its pristine condition is a strong testimony to the tremendous care it has received from State Street Companies. It is exceedingly rare for us to acquire an asset that requires no deferred maintenance and that has been maintained with such a high level of care.”
Community features Wilmington’s largest average square footage per unit
Delivered in 2004 and substantially renovated four times since 2008, The Reserve at Mayfaire consists of one, two and three-bedroom floorplans ranging from 860 to 1,721 square feet of space, and its 1,117 square foot average unit size represents the largest in the greater Wilmington submarket. Twenty-six unique custom floor plans include many with granite or quartz kitchen and bathroom countertops, custom cabinetry, wood-style flooring, slide-in oven and stoves, in-unit washers and dryers, upgraded refrigerators and microwaves, oversized closets and balconies or porches.
Resort-style community amenities are highlighted by an expansive clubhouse with conference center, gourmet kitchen facility, business office, 26-seat movie theatre, state-of-the-art fitness center and modern package locker center, as well as an outdoor Olympic-size swimming pool with sundeck. The common area grounds also include a poolside grilling pavilion, bocce ball court and resident car wash facility.
On-going renovation and upgrade strategy
Nearly 140 of the 264 units within The Reserve at Mayfaire have been renovated by the former ownership group. CRC plans to invest in a continuing upgrade strategy that will address the remaining units over a multi-year period. These plans will focus on improvements to the in-unit appliance package, flooring and countertops in the kitchen and bathroom as well as in the community’s amenity areas, including new pool furniture and cabanas and enhancements to the grilling area with additional seating and a fire pit.
Surrounding demographics and proximity to major employment centers
Fueled by ongoing population in-migration spurred by emerging employment opportunities, Wilmington experienced a 21% population growth over the past six years, a pace that is expected to increase. New Hanover County holds the number eight place in North Carolina’s ranking of the top 100 counties in tourism expenditures, with a $675 million annual visitor spending that supports more than 7,000 tourism-related jobs.
Located adjacent to The Reserve at Mayfaire is The Offices at Mayfaire, a nearly 300,000 square foot business community that houses Live Oak Bank with 600 employees and cloud banking company nCino with 700 employees in its Wilmington headquarters. The more than 200,000 square foot Mayfaire Community Center is within close proximity and nCino is constructing a second 90,000 square foot office building nearby to house additional employees. The 18,000 student University of North Carolina Wilmington, which ranks among the 100 best public universities according to U.S. News & World Report, is another significant area economic driver.
The Reserve at Mayfaire is walkable to Mayfaire Town Center, a nearly 500,000 square foot mixed-use project anchored by Barnes & Noble, Belk, Fresh Market and Regal Cinemas, as well as supporting restaurants, retail and office space. Other nearby retail amenities include Dick’s Sporting Goods, Harris Teeter, Lidl, PetSmart and Landfall Shopping Center.
Continental Realty Corporation (CRC) is focused on acquiring value-add retail and multifamily properties located throughout the Mid-Atlantic and Southeast regions of the United States and Texas. Headquartered in Baltimore and founded in 1960, CRC is a full-service commercial real estate and investment company. The privately-owned firm owns and manages a diversified portfolio of retail centers consisting of more than five million square feet of commercial space, as well as nearly 9,000 apartment homes. Positioned throughout the Mid-Atlantic and Southeast regions, the portfolio’s value exceeds $2 billion. For additional information, visit www.crcrealty.com.
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