PHOENIX, AZ - Ranking No. 10 on Multifamily Executive magazine’s annual Top 50 Builders list, Alliance Residential Company’s development arm re-emerged strongly in 2010 and its business plan for 2011 continues to be weighted towards development, with a projection of 5,000 starts.
“We are good risk managers and survived the last downturn by being careful and conservatively leveraged,” says President Bruce Ward. “As a result, we were able to take advantage of the decline in land and construction costs, as well as multiple opportunities to buy already-entitled sites in prime locations over the course of the past year and a half. We picked up several sites that were only partially built or had existing parking garages constructed, and were able to quickly resume development.”
Today, Alliance is continuing to strategically pursue development opportunities because Ward believes the industry is moving into a development cycle and wants to ensure Alliance gets out in front of that cycle. “We are currently looking at a variety of triple-A rated distressed sites and urban development opportunities,” he adds. “We’ve been in D.C. for a number of years, and we’ve expanded resources in San Diego, Seattle, Orlando and Tampa during the past 12 months. Overall, our strong relationship with large institutional financial partners combined with low leverage allows us increased liquidity in our balance sheet moving forward.”
Since 2001, the company has invested $2.7 billion in the development of more than 20,000 units and $1.4 billion in the acquisition of more than 13,000 units. All developments are branded under the Broadstone community name and managed by Alliance. The following projects are currently underway:
Broadstone Laurel Highlands: Lorton, Va.
In June 2010, Alliance bought the partially constructed Laurel Highlands project at 8120 McCauley Way, approximately 13 miles south of downtown Washington, D.C. Initially designed and marketed as condos, the project site construction had halted after completing a parking garage. At that time, Alliance purchased the REO 10.9-acre parcel from the lender. Broadstone Laurel Highlands will offer 289 garden-style apartment homes and 11 townhomes, with first units scheduled to deliver in July.
Broadstone Citrus Village: Tampa, Fla.
Alliance broke ground on Broadstone Citrus Village, its second development in Florida and first in the Tampa area, in October 2010. Located at 8049 Gunn Highway, the project site encompasses a 17.7-acre parcel of land within the Citrus Park Village bedroom community, and completion is slated for mid-2012. Initial leasing efforts are already underway for the 296-unit community, featuring one-, two- and three-bedroom floor plans, two detached parking garages, and a 4,700-square-foot clubhouse and resort-style pool with sand beach, poolside cabanas and outdoor grill.
Broadstone ICIS: Glendale, Calif.
Following the October 2010 acquisition of the downtown Glendale, Calif.-based ICIS property, a fully entitled and building permit-ready project site, Alliance began construction on Broadstone ICIS in December 2010. Completion is slated for mid-2012. The 2.55-acre development site comprises two parcels separated by a lightly traveled residential street, which will offer 186 apartment homes, eight patio-style loft units, 14 three-story townhome units and 8,282 square feet of retail space.
Broadstone Valley Parkway: Lewisville, Texas
In April, Alliance purchased a 16.4-acre parcel of land in Lewisville, Texas, and began construction on the 363-unit Class A garden-style Broadstone Valley Parkway. Completion is slated for December 2012. Situated at the corner of West Round Grove Road and Valley Parkway, the development will feature three-story wood-frame construction with attached garages, and average unit sizes of 948 square feet.
Broadstone Ravello: Las Vegas
Alliance acquired an unfinished 152-unit Class A condominium community known as The Pueblos in March 2011. The community, which is just 15 minutes north of the Las Vegas Strip at 4034 Adabella Avenue, has been rebranded as Broadstone Ravello. Alliance plans to deliver 112 unfinished units by early 2012. Once finished, the property will consist of 19 two-story, wood-framed buildings offering two- and three-bedroom townhomes, with most homes including attached, direct-access garages.
Broadstone Little Italy: San Diego
In May, Alliance acquired a 1.3-acre development site in the Little Italy district of downtown San Diego, located just two blocks from the edge of the San Diego bay. The site was originally entitled for a 247-unit high-rise condominium development, but the seller was unable to obtain financing. Alliance is capitalizing on the existing zoning — which allows for a high-density, mixed-use residential development — by building a 201-unit luxury apartment community with 9,000 square feet of ground-floor retail space and six brownstone-style units along the residential street frontage on Fir Street. Most units of the project will have unobstructed water views of the bay. Construction is scheduled to commence later this year.
Broadstone Centreport II: Fort Worth, Texas
In June, Alliance purchased a 16.25-acre parcel of land in the Centreport submarket of Fort Worth, Texas, and plans to build a Class A luxury apartment community. The site is situated within the 1,300-acre master-planned Centreport Business Park, and is across the street from Alliance’s initial multifamily development in the area, Broadstone Centreport. Alliance intends to begin construction this summer and will deliver the 344 apartment homes — featuring upgraded appliance, lighting and plumbing packages — at the end of 2012.
Broadstone on Camelback: Phoenix
Alliance will break ground on the 270-unit Broadstone on Camelback in the third quarter of 2011. Situated in a Triple “A” location — the hotly contested site of a failed Donald Trump project — the community is adjacent to the Camelback Esplanade and across the street from the Biltmore Fashion Park. At completion, the development will feature four-story residential buildings — offering a mix of studios, one- and two-bedroom units — accompanied by one level of partially below-grade parking. Completion is slated for the second quarter of 2013.
Company Information
Alliance Residential is a fully-integrated multifamily real estate operating company focused on the development, acquisition, construction and management of residential and mixed-use communities in the United States. Headquartered in Phoenix, Alliance has 17 regional offices divided among six regions throughout the U.S. Over the past 11 years, Alliance has become one of the largest private apartment owners and the 15th largest management company in the nation, boasting a $6.0+ billion portfolio, 46,500 units in 24 metropolitan markets. Alliance has a presence in 15 states (including Arizona, California, Colorado, District of Columbia, Florida, Georgia, Maryland, Nevada, New Mexico, New York, Oregon, Texas, Utah, Virginia and Washington) and is actively seeking management, development and acquisitions opportunities across the markets it serves. For more information, visit www.allresco.com