ATLANTA, GA – Commercial real estate firm Beacon Real Estate Group continued its acquisition push in the Atlanta market with the $53.2 million purchase of the 53 West apartment community in Gainesville, Georgia. This month, Beacon has closed on two significant multifamily investments totaling $100 million in the area.
The 53 West transaction closed on Aug. 25.
Completed in 2019, 53 West is a 266-unit, garden-style community located at 1000 Woodacres Road in the affluent Gainesville/Hall County submarket – one of Georgia’s fastest-growing areas. The Class A community is 99% occupied.
“This is an exciting acquisition for us - 53 West is a wonderful addition to our portfolio of multifamily assets,” Beacon Managing Partner Richard Kulick said. “Tenant demand has been incredible, as many successful professionals who work in the urban core are relocating to high-quality suburban communities like 53 West. It is also one of the only Class A options within Hall County.”
The Gainesville/Hall County submarket is a vital economic anchor for the northeast Atlanta metro area. It is home to more than 350 companies and manufacturing firms, with more than 100 new and expanded businesses adding 5,500 jobs and $1.2 billion in capital investment since 2015.
Gainesville/Hall County has been particularly resilient during the COVID-19 pandemic, losing only 7.3% of jobs as of May 2020. That ranks 17th out of 338 U.S. MSA’s. The national average was 13.2% through May.
At 53 West, minimal rent deferment has been needed to date. That underscores the submarket’s strong demographics and ability to preserve jobs amid challenging broader conditions.
Beacon obtained acquisition financing for 53 West from Freddie Mac and Berkadia. Mitch Sinberg and Scott Wadler of Berkadia arranged the financing.
Cushman & Wakefield’s Robert Stickel and Alex Brown marketed 53 West on behalf of seller Varden Capital Properties and Tellus Partners.
Earlier this month, Beacon closed on the $46.1 million acquisition of the 168-unit Domain at Cedar Creek and 164-unit Gateway at Cedar Brook in the Decatur submarket of Atlanta.
Beacon continues to aggressively pursue multifamily acquisitions in the market.
“We study the fundamentals of each potential acquisition and closely examine the surrounding area,” Beacon Managing Partner Carlos E. Imery said. “Our team does not overreact to short-term trends. The 53 West opportunity checked every possible box for us.”
Beacon owns more than 6,000 multifamily units in the Southeast U.S., with a strong focus on secondary markets. The company’s portfolio also includes nearly 1 million square feet of office and retail properties in the region.
About Beacon Real Estate Group: Based in Coral Gables, Florida, Beacon Real Estate Group is a commercial real estate firm that specializes in the acquisition and management of multifamily, office and retail properties in the Southeastern quadrant of the U.S. Beacon is led by real estate veterans Richard Kulick and Carlos Imery. The firm and its affiliates were founded in 1967 and have more than 50 years of continues experience. Beacon currently controls over 10 million square feet of U.S. commercial real estate.
For more information about Beacon, visit www.bcnreg.com