Harbour Group International (HGI), an apartment owner based in Norfolk, Virginia, recently made a significant acquisition in the multifamily real estate market by purchasing a sizeable portfolio of apartment units that spans four states. The transaction, which is estimated to be worth roughly $625 million, contains eleven garden-style properties distributed across the states of South Carolina, Louisiana, Georgia, and Tennessee, with a combined total of 3,590 properties.
This portfolio was bought through a joint venture that was formed by David Werner, Onyx Partners, which is a real estate investment and asset management company based in Lakewood, New Jersey, and Carlton Associates, which is an investment firm based in New York City. Ninety-five percent of the properties, which were constructed between the years 1996 and 2010, are currently occupied. Additionally, about fifteen percent of the units have recently undergone renovations, which have contributed to the portfolio’s value and appeal.
Portfolio Highlights and Property Details
| Feature | Details |
|---|---|
| Buyer | Harbor Group International (HGI) |
| Seller | David Werner, Onyx Partners, Carlton Associates |
| Property Type | Garden-style apartment communities |
| Total Number of Properties | 11 |
| Total Units | 3,590 |
| Location | South Carolina, Louisiana, Georgia, Tennessee |
| Year Built | 1996–2010 |
| Occupancy Rate | 95% |
| Renovation Status | 15% of units recently renovated |
| Total Purchase Price | $625 million |
The Effects That This Acquisition Will Have on the Market
In spite of the fact that some other buyers are still hesitant to enter the market again, this acquisition is a strong indication that Harbour Group International is actively pursuing expansion in the year 2025. As evidenced by a number of high-profile acquisitions, the corporation has demonstrated a hunger for extending its multifamily assets throughout the course of this year.
At the beginning of the year 2025, HGI paid $182 million to acquire The Kendrick, a property that had been created by Toll Brothers. During the first three months of the year, one of the most significant flat transactions took place at The Kendrick, which was constructed in 2018. In addition, HGI affiliates purchased Livano Canyon Falls in February. This apartment complex is located in Northlake, Texas, and it is a brand-new 300-unit apartment complex. It is a part of the huge Canyon Falls master-planned community, which spans over 1,200 acres.
It has been made publically known by Yisroel Berg, who serves as the Chief Investment Officer of Multifamily for HGI, that the company believes there are considerable prospects to acquire apartments this year. Despite the fact that new developments are being brought online, he stated that there are still properties that are in need of repair that are available, which provides many opportunities for investment and expansion.
The Reasons Why This Transaction Is Important
This investment, which has a purchase price of $625 million, is not simply about adding numbers to a portfolio; rather, it represents a strategic expansion into key southern regions that have excellent occupancy and the potential for continued growth. The garden-style apartment communities provide tenants with a more suburban living experience, which has proven increasingly appealing over the course of the past several years.
HGI has the opportunity to further improve the properties, enrich the experience of the residents, and boost the long-term value of the buildings by utilising a combination of restored and original apartments. Furthermore, the high occupancy rate is a reflection of the continuous demand for housing that is suitable for several families from these states.
Take a Look Ahead
In the year 2025, the market for multifamily real estate is exhibiting signs of solid activity, particularly for businesses such as HGI that are willing to invest wisely. Those buyers who are able to move swiftly and efficiently are in a position to capitalise on the fact that new apartment complexes are opening up and others are coming onto the market as a result of financial difficulty.
The several purchases that HGI has made in the states of South Carolina, Louisiana, Georgia, and Tennessee demonstrate the company’s faith in the expansion potential of these regions. There is a possibility that in the coming months, other businesses will follow the pace that the company has set with its varied portfolio and strong eye for opportunities.
In the event that you have an interest in multifamily investments or the ever-changing trends in the real estate market, this transaction is an excellent illustration of how dynamic the industry continues to be and how strategic acquisitions can have a significant impact on the future of residential housing.
