Investors Gravitate To Jobs And Population Growth

By Lisa Brown, GlobeSt.com

DALLAS—Pollack Shores Real Estate Group recently expanded in the Southwest with the launch of a new office in Dallas. Alex Seals will lead the company’s efforts in the Southwest from the new office located in Preston Center. Steven Shores, president and cofounder of Pollack Shores, recently discussed this expansion, along with the 2016 multifamily market and upcoming trends with GlobeSt.com in this exclusive.

GlobeSt.com: How was 2016 for the multifamily industry?

Steven Shores: In 2016, we began to enter a more normalized market as opposed to the aggressive development market we’ve seen over the last few years since the pent up post-recession demand. At a company level, 2016 was a big year for us as it marks our 10-year anniversary. Since opening in 2006, Pollack Shores has invested in, acquired and developed over 14,500 units representing in excess of $2 billion of total capitalization exclusively in a number of Sun Belt cities. This year alone, we acquired three properties and had four development starts in Florida, Georgia and North Carolina. We also made the strategic decision to establish an office in Dallas to expand our business Southwest. In 2017, we expect to hire about 100 new employees across Pollack Shores and Matrix Residential to keep up with growing demand.

GlobeSt.com: Before we talk about the Southwest expansion, which markets in the Southeast are attractive to investors?

Shores: Investors remain attracted to markets with high employment and population growth, including Atlanta, Charlotte, Nashville, Orlando, Raleigh, NC, Tampa, Palm Beach County and Broward County, FL and Charleston, SC.

GlobeSt.com: Why is now the right time to expand to the Southwest?

Shores: We have been planning to expand our Sun Belt-focused investment strategy into the Southwest for quite some time, but we have always wanted to have the perfect leader for those efforts. We found that in Alex, who was the former vice president of investments at Dallas-based Rosewood Property Company, and look forward to him helping us grow our business. Alex has experience working in these markets during his time at Rosewood and the Carlyle Group in Washington, DC, and we are excited to have him lead this expansion.

GlobeSt.com:  Tell us more about your expansion strategy.

Shores: We will expand the Pollack Shores’ investment, development and property management platform into target markets in the Southwest, including Austin, Dallas, Houston, San Antonio, Denver and Phoenix. Pollack Shores identified these Southwest markets because we believe, on a long-term basis, they will continue to experience job and population growth that outpaces the national average.

GlobeSt.com:  What trends do you predict for 2017? 

Shores:  In 2017, we expect to see more opportunities in urban-type, mixed-use concepts like our project Home at the Battery Atlanta, which will offer a mix of retail, office, residential and entertainment uses anchoring the new Atlanta Braves Stadium. Today’s apartment resident is willing to pay a premium for active, energized communities with more density, and walkable retail and restaurants. These urban-type communities don’t necessarily need to be located within city centers. For example, we manage Haven and Veranda apartments at Avalon, and even within the suburban node of Alpharetta, GA, this lifestyle feels urban because of its density, mix of uses and walkability. Residents will also continue to pay for premier amenities, so we will continue to see dog parks, upscale fitness centers with spin and yoga classes, luxury pools, outdoor kitchens and other resort-inspired features.

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