EDEN Living is the latest newcomer to the build-to-rent market
EDEN Multifamily principals Jay Jacobson and Jay Massirman and America’s Capital Partners principal Sergio Socolsky have launched horizontal apartment development firm EDEN Living in South Florida, with an eye toward national expansion.
The new firm plans to develop one-story living environments and two-story townhomes in some locations with private, exterior living space, courtyards and private landscaped backyards. EDEN Living projects will include amenities on par with those of traditional Class A multifamily communities, the company said in a statement, and the firm is initially working on 1,100 units across Miami-Dade, Duval, and Brevard counties.
Additional target markets for the firm include South Florida, Orlando, the Florida Space Coast, Tampa, Southwest Florida and Jacksonville, as well as the Atlanta, Charlotte, Memphis, Nashville and Knoxville markets.
Typically, horizontal apartments are built-to-rent, single-story detached homes or two-story townhomes with private entrances or yards. EDEN Living units will feature one-bedroom units as single-story duplexes sharing a center wall. Two and three-bedroom homes will be detached and will mimic the layout and square footage of conventional apartments.
“We believe this concept has widespread appeal to every population segment around the country,” Jacobson said in a statement. “It accommodates the rental markets’ desire for space and privacy, without sacrificing the amenities and ease of lifestyle apartment renters are accustomed to. We have found that renters desire direct access to private outdoor spaces and our horizontal living experience provides just that.”
EDEN Living has committed $22 million in general partner equity thus far, and the company’s principals maintain the return potential for investors is strong.
“We are taking advantage of significantly lower construction costs to build the horizontal apartments while still obtaining about 12 to 16 units per acre,” Massirman said. “And while every submarket is different, we anticipate being able to rent our apartments at a premium over traditional multifamily units.”
John Hutchinson, president, central and southwestern US of Trez, told GlobeSt.com in an earlier interview that the horizontal multifamily product is gaining popularity in markets with high population and employment growth.
“The product is popular for several reasons,” Hutchinson said. “First, many people are moving to these high-growth cities and may want to wait awhile before purchasing a home. Second, due to COVID-19, many people want to live in a less dense environment. This is true for both the single-family rental projects built on platted lots and the horizontal multifamily type of product. Third, this property type has a backyard, which is very important to people with dogs.”
Original article is GlobeSt.com By Lynn Pollack | February 09, 2021 at 07:23 AM