TRION PROPERTIES ACQUIRES 297-UNIT PORTFOLIO IN SAVANNAH, GA SUBMARKET
SAVANNAH, GA, (July 11, 2022) – Trion Properties, a multifamily investment sponsor and private equity real estate firm based in West Hollywood, California, and Miami, Florida, has acquired a multifamily portfolio consisting of two sites, Osprey on the Bluffs and Heron on the Bluffs, totaling 297 units in the Southside submarket of Savannah, Georgia for $57.65 million.
Drawing upon vast multifamily experience and connections, the firm was able to acquire the highly desirable Bluffs portfolio—located within a supply-constrained submarket with tremendous opportunity for growth—at a below-market price, explains Max Sharkansky, Managing Partner at Trion Properties.
“The acquisition of these communities with its coveted Southside Savannah location within the economic heart of southeast Georgia, was truly a collaborative process where we were able to leverage our team’s strong broker relationships and negotiation skills to secure these properties,” says Sharkansky.
Sharkansky adds that the submarket is poised for future growth as the nearby Port of Savannah will see $9 billion of planned investment completed within the next three years. Further, Hyundai recently announced the construction of a $6 billion electric car and battery factory, which will enhance both the impact of the port and the overall job growth in the market.
“Savannah is one of the fastest-growing rental markets in the nation, with 20% year-over-year rental increases,” explains Sharkansky. “Population growth is being driven in part at the macro level by the ongoing influx of migration to the Southeast from other regions of the country, and at the micro-level by impressive ongoing and expected future job growth in Savannah. Southside in particular is forecasted to grow at an even faster rate relative to the metro as a whole over the next few years, as it continues to offer a respite to pricing in submarkets with a higher cost of living, while still providing convenient access to employment and amenities.”
Marley Dominguez, Director of Acquisitions at Trion Properties, adds that the previous ownership invested nearly $4.8 million in renovations across both properties, allowing the Trion team to focus its value-add strategy on refined upgrades and market-leading finished that will further bolster rent growth.
“These communities present an opportunity to update unrenovated interiors and draw upon our market knowledge to further enhance curb appeal for today’s residents,” continues Dominguez. “Exterior upgrades will include fresh landscaping, parking lot renovations, pool deck redesign, signage upgrades, BBQ areas, a dog park, and various deferred interest items.”
Constructed in 1986, Osprey on The Bluffs and Heron on The Bluffs are located less than one mile apart. The properties are 97% occupied and feature 297 one- and two-bedroom apartment units averaging 1,034 square feet. The community is comprised of two- and three-story wood-frame buildings. Existing amenities include a pool deck with clubhouses, fitness centers and outdoor kitchens with seating areas.
The assets are located approximately 25 minutes from the Port of Savannah and 20 minutes from downtown Savannah. The properties sit between four hospitals and two nearby military bases, and less than 11 miles from the Savannah/Hilton Head International Airport.
The transaction was brokered by Taylor Bird, Senior Director, Nelson Abels, Director, Laura Aylor, Associate, and Harrison Cheeley, Associate, at Cushman and Wakefield. Financing was arranged by Continental Partners, with preferred equity provided by Walker and Dunlop, and lending provided by Capital One.Osprey on the Bluffs is located at 11900 White Bluff Road and Heron on the Bluffs is located at 10014 White Bluff Road in Savannah, Georgia.
About Trion Properties
Founded in 2005 and headquartered in Los Angeles, Trion Properties is a private equity real estate firm that invests in value-add multifamily throughout the west coast. Trion has completed more than $1.4 billion in transactions, with a portfolio of over $1 billion in assets, generating an average internal rate of return in excess of 30 percent. With its fully built-out operator platform, Trion has repositioned and stabilized undervalued assets, leveraging its expertise in real estate finance and renovation of multifamily properties to drive returns for its investors.
Since its inception, Trion has acquired the fee interest—or in certain instances, the debt secured by the fee interest—of over 4,460 multifamily units. Trion has successfully repositioned and resold over 2,230 units and over 200,430 square feet of commercial real estate space.
The principals of Trion Properties are Max Sharkansky and Mitch Paskover, two real estate professionals with over 30 years of combined experience in finance, acquisitions, management and redevelopment. Additional information is available at https://trionproperties.com/.