RangeWater Real Estate continued to expand its build-to-let (BTR) portfolio last week after closing 17 acres in Charleston, SC, its first step into that market under its Storia brand.
The Atlanta-based operator said it will break ground in August and first move-ins are expected in October 2023. Today, BTR represents more than 15% of RangeWater’s overall portfolio.
Its Storia brand was launched nearly two years ago when the company announced it would roll out $800 million over the next 18 months with plans to build around 15 Storia communities in the Sun Belt metros where RangeWater operates. .
Chase Davidson, head of construction-to-lease in RangeWater’s Capital Markets group, told GlobeSt.com that RangeWater is focused on high-growth Sun Belt markets, including Tampa, Charlotte and Dallas, where it already has a property development or management. presence.
With more than 86,000 units under management, including 14,378 BTR units and another 2,500 BTR units under development, “RangeWater has built a footprint that provides key insights into Storia’s target demographic,” Davidson said. “We remain focused on locations within driving distance of employment hubs and with strong population growth, good schools and strong household incomes.”
Atlanta BTR Rental Exceeds Expectations
Davidson said rental performance at RangeWater’s active BTR projects in Atlanta has been strong, with demand and rents exceeding expectations.
“The appeal of built-to-let homes is broad,” Davidson said. “They give people more space in the age of working from home and combine the convenience of a professionally managed property with amenities like dog parks, pools and grilling stations.
“In some of our BTR communities, people may even have private garages or yards, which is great if they have kids or pets. We’re seeing it’s not just younger or older generations flocking to single family rental homes and communities – we’re seeing it’s a great choice for new families, blended families, empty nests and people who want to try an area before buying.
Lots of space in BTR communities
He said one thing many BTR communities have in common is the need for more space, which means the majority of them, about 61%, are located in the suburbs.
For Charleston, the multi-family developer is planning a 3-bedroom, 2-bathroom townhouse community called Bellerose in Bees Ferry, a Storia neighborhood.
Homes will have one-car garages, 9-foot ceilings, gourmet kitchens with high-end appliances, and stone countertops. The community will include an outdoor clubhouse, swimming pool, fire pits and planned events to delight residents.
“Charleston is one of our favorite places to grow because of the lifestyle and economic opportunities here,” said Steven Shores, president and CEO of RangeWater in prepared remarks.
“Residents are drawn to this area’s beautiful beaches and waterways, as well as Charleston’s historic charm and plentiful jobs. We are proud to bring a Storia neighborhood to better serve this demographic.
Privately held RangeWater was founded in 2006. The company acquires, develops, manages and invests in multi-family communities across the Southeast and Southwest United States, with a $6.3 billion portfolio.