KING OF PRUSSIA, Pa.--(BUSINESS WIRE)--Morgan Properties has continued to rapidly expand its geographic footprint in the Mid-Atlantic Region, solidifying itself as one of the nation’s largest and fastest growing multifamily owners and operators. Following an established plan for growth in 2016, Morgan Properties JV, an affiliate of Morgan Properties acquired fourteen apartment communities comprised of over 4,200 units. Morgan Properties closed a portfolio transaction consisting of eleven apartment communities (“Star Portfolio”) located in four states that include Maryland, Pennsylvania, North Carolina and South Carolina. Additionally, Morgan Properties closed three other transactions to purchase Grand Pointe, a 325-unit apartment community located in Columbia, Maryland, Avery Park, a 606-unit apartment community located in Silver Spring, Maryland, and Henson Creek, a 450-unit apartment community located in Temple Hills, Maryland in what has been a stellar year of growth.
Morgan Properties has been on a buying frenzy across Maryland over the last five years and has quickly emerged as one of the state’s largest apartment owners where it currently owns and manages 42 assets and over 16,000 units. Commenting on the recent acquisitions, Jonathan Morgan, President of Morgan Properties JV, said “In 2016, Morgan Properties has already closed four transactions to acquire over $500 Million of multifamily investments with three joint venture partners. Our success is a testament to our seasoned executive team, proven track record and strong capital relationships. We look forward to executing on our business plan, generating operational efficiencies and growing our portfolio holdings.”
Morgan Properties acquired the 2,826-unit Star Portfolio, which consisted of eleven separate apartment communities with an average age of 30 years old that are located in suburban Maryland, Pennsylvania, North Carolina and South Carolina. The Star Portfolio includes two apartment communities in Raleigh, North Carolina, three properties in Lexington, South Carolina, Rock Hill, South Carolina and York, Pennsylvania respectively, and seven assets in Maryland. All the properties are located in very desirable, high-barrier submarkets in close proximity to major employment hubs and public transit, which provides the residents with direct access to robust employment bases. Deutsche Bank represented the seller and Berkadia represented Morgan Properties as the buyer on this portfolio transaction.
In the second transaction, Morgan Properties acquired Grand Pointe, a 325-unit apartment community in Columbia, Maryland. Originally built in 1973, Grand Pointe consists of both a 9-story midrise building and garden-style apartments. The property will undergo significant improvements to the building interior and exterior, as well as in-unit enhancements and amenity upgrades. Grand Pointe is located adjacent to The Mall of Columbia and major transportation arteries in the highly coveted submarket of Columbia. JLL represented the seller on this transaction.
In the third transaction, Morgan Properties purchased Avery Park, a 606-unit garden-style apartment community located in Silver Spring, Maryland that was built in 1970. The property is ideally situated adjacent to the I-495 Capital Beltway, providing access to transportation and the surrounding areas’ significant employment base including College Park and The University of Maryland. ARA represented the seller on this transaction.
In the fourth transaction, Morgan Properties acquired Henson Creek, a 450-unit garden-style apartment community located in Temple Hills, Maryland that was built in 1966. Henson Creek, formerly known as Ashford at Henson Creek, is located in an infill and transit-oriented submarket just outside-the-beltway within minutes of DC. CBRE represented the seller on this transaction.
Mitchell Morgan, Founder and CEO of Morgan Properties, said “The Star Portfolio was a big acquisition for our organization. Our team was eager to expand our portfolio holdings in Maryland, Pennsylvania and the Carolinas. We are also very excited about the prospect of entering North Carolina, which we feel is a market with a lot of potential. All of these deals were right in our wheelhouse and the majority of the properties are located in our backyard. Given our strong market presence and operational expertise, our team is going to hit the ground running.”
Morgan Properties will execute a $30 million value-add repositioning plan in aggregate to enhance the value of each property. Morgan Properties’ renovation strategy will include premium kitchen and bath renovations and top-of-line amenity upgrades, such as fitness centers, resident lounges, dog parks, playgrounds, grilling areas and exterior fitness stations. The properties’ well-designed floor plans offer spacious units and large closets, which is conducive to implementing a value-add renovation strategy through interior unit upgrades.
About Morgan Properties – Established in 1985 by Mitchell L. Morgan, Morgan Properties is a real estate investment, development and management company headquartered in King of Prussia, Pennsylvania. Morgan Properties and its affiliate, Morgan Properties JV own and manage a multifamily portfolio comprised of 132 apartment communities and over 35,000 units located in ten states throughout the country, primarily in the Mid-Atlantic and Northeast Region. Morgan Properties has grown to be the 35th largest apartment owner in the country. In recent years, Morgan Properties has been recognized by Multi-Housing Associations in Pennsylvania, Delaware, New Jersey and Maryland as “Property Management Company of the Year” based on its company vision, mission, customer service philosophy, community service, employee training and commitment to education. Morgan Properties was also selected as one of the Top Workplaces in Philadelphia in 2015. Since its inception in 2011, Morgan Properties JV has been one of the most active multifamily investors in the Mid-Atlantic and Northeast Region, and has acquired over $1.8 Billion in assets representing over 15,000 apartment units. Morgan Properties JV has a proven track record of creating value for its equity investors through value-add repositioning, rehabilitation and professional management expertise. Learn more at www.morganproperties.com