Roers Companies sold its 208-unit Lakeville apartment community today. Belgarde purchased Northlake Lofts for $60 million — just three months after the first residents moved into the newly constructed building at 18400 Orchard Trail.
This is the second property Roers Cos. has sold in 2022 prior to filling all its apartments and reaching what the industry considers stable occupancy — 95% or higher — a buyer trend on the rise in the Twin Cities metro area. Roers Cos. sold its Beyond Apartments complex in Woodbury, Minn. in March of this year when approximately 76% of its units were occupied. The Roers Cos. team says that both leasing velocity and buyer appetite in high-growth suburban locations remain strong.
Brian Roers, owner of Roers Companies said, “We weren’t looking to sell, but Belgarde brought us an aggressive offer of $288,461 per door, which was just too good to pass up. With what we’ve seen in Woodbury and Lakeville this year, it’s clear that buyers are seeing the potential value and the rental demand growth in the Twin Cities suburbs.”
By move-in day in April 2022, Northlake Lofts was 60% leased and three months later is 96% leased and 85% occupied.
“Our leasing teams have achieved truly impressive results at Northlake Lofts,” said Vice President of Marketing Amy Johnson. “The property far outperformed proforma goals for occupancy. For buildings of this size, a good leasing week would mean new applications for about 2% of the available apartments. Northlake Lofts averaged close to 4%,” she added.
Johnson credits the appeal of living in the growing southwest suburbs as well as a desirable brand direction for the property’s leasing success. Northlake Lofts is named for its location on the north side of Lakeville and its overall interior design aesthetic.
“Minnesotans love their cabins,” she said. “A property that brings the north woods feel to the suburbs is really appealing to renters of all different ages and backgrounds.”
The site’s proximity to I-35 and robust amenity list were key factors as well, Johnson said. The luxury lodge-inspired property includes more than 281,000 square feet alcove-style, one-, two- and three-bedroom apartments on four floors. It offers two different interior finish styles for renters to choose from, all of which include a gas stovetop and in-home washer and dryer. Amenities abound with an outdoor pool, rooftop deck, work-from-home lounge, golf simulator, community room and café, game room, fitness center, kids’ playroom, rooftop lounge and heated underground parking.
Roers Cos. continues to build new suburban multifamily properties throughout the Twin Cities. It has additional projects under construction in Apple Valley, Blaine, Bloomington, Maple Grove, St. Louis Park and West St. Paul with proposed projects in Rosemount, Oakdale and Shakopee.
“We’re working to deliver new, quality homes in markets where housing demand is outpacing supply and populations are growing,” noted Roers. “Like we saw in Lakeville, renter demand is solid throughout the Twin Cities suburbs. That’s propelling four or five new projects in the southeast and southwest metro that we hope to kick off yet this year.”
MORE ABOUT NORTHLAKE LOFTS
Photos: https://library.roerscompanies.com/share/69C2EB00-CFEA-47B1-9761CFE274A23651/ | Credit: Spacecrafting
Matterport 360 tours: https://www.northlakelofts.com/virtualtours