Real estate across Raleigh-Durham remains robust

Real estate across Raleigh-Durham remains robust

2022-07-13T09:09:54-04:00January 17th, 2022|Economy, Raleigh-Durham, Real Estate|

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Writer: Joshua Andino 

2 min read  January 2022 The Triangle’s real estate market remains robust, with a number of multifamily projects and deals currently underway or recently completed. 

The shift to remote work and the subsequent migration of Americans as they reassessed their living situations has been a boom for the Raleigh-Durham region. Across the Triangle, new projects and developments are underway, fuelled in-part by big-name relocations and office openings by the likes of Apple, Google, Fidelity Investments and others. With the region named the 2nd best place to live by U.S. News ranking, new residents and developers are taking advantage of the growth. 

Just outside of the Interstate 540 loop, Dominion Realty Partners (DRP) of Raleigh announced the start of construction for Fox Crossing Apartments, with 240 units set across a collection of 3-story buildings. DRP bought the site for $4.165 million in Dec. 2021. Just off of Knickerbocker Parkway, Los Angeles-based TruAmerica purchased the 228-unit Concord Apartments for $53.4 million, or $234,210 per unit. In Lee County’s Sanford, locally-based Carolina Commercial Contractors bought a 23 acre site, and while still early, the intention is to include a multifamily component to whatever the final project becomes, reports the Triangle Business Journal. 

Over in Durham, affiliates of Chicago-based Magnolia Capital bought The Waterford in Morrisville and Alvista Durham for $76 million and $74 million respectively. The total cost breaks down to around $232,557 for 645 units in both communities

DRP CEO Andy Andrews, in an interview with Invest:, explained the ongoing draw to apartment construction and multifamily demand. “Multifamily is a very promising area. What really has changed is the number of people moving down here, wanting to buy a home or needing a place to live.” He attributed this trend as a result of a generational shift amongst younger buyers who were flocking to the Triangle area. “A lot of the millennials are not so sure that they want to go into the home-buying business yet. They’re putting off having children for some years. During that tenure, they don’t want to live in detached homes, they want to live in an apartment. This is driving a fair degree of demand.”

Other recent apartment deals include the sale of the 336-unit The Riley to Braddock & Logan Services for $84 million near northwest Raleigh’s Glenwood Avenue. Meanwhile, Dallas, Texas-based NXRT High House purchased the 302-unit Hudson High House Apartments in Cary. Another California-based firm, Waterford Rino LLC, bought the 270-unit Braxton at Brier Creek apartments, paying $79.9 million or $295,925 per unit. 

The Triangle’s growth has led to its fair share of strains across the region. “I think our biggest challenge at the moment is that huge demand is overwhelming the short supply, which is squeezing lots of homebuyers and renters out of the market. It has been that way in a lot of Southern cities, as the flight from what I’ll call unhealthy cities around the country continues to grow,” explained APG Capital CEO Jim Anthony to Invest:. As the demand continues to grow, supply is dwindling and struggles to match. Anthony stated, “Infrastructure is getting strained, land prices are going crazy, and construction prices are too high with labor shortages. You will be fortunate to find loyal subcontractors right now, because they’re charging whatever they want and getting it. That’s not good.”

The growth of theTriangle market is expected to continue however, with the region’s strong university system, Research Triangle Park, and easy living providing a strong draw for businesses and individuals alike. Raleigh Mayor Mary-Ann Baldwn surmised it as the result of the region’s dynamism, telling Invest:,People are moving here. The Triangle region was just named the number two place to live in the country by U.S. News & World Report. They cited our technology/research sectors, our sense of community, our beautiful green space, family-friendly museums and quality of life. I’m excited about the next two years and what our future will bring.”

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