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Middle Street Partners Launches Luxury Apartments in Atlanta

Modern luxury apartment building in Atlanta

News Summary

Middle Street Partners is entering Atlanta’s crowded apartment market with the unveiling of the Westside Union project, featuring 273 luxury units. Alongside the development of The Juniper and The Reserve at Juniper towers, the company aims to offer high-end living experiences. Despite a saturated market and rising vacancies, the developer is optimistic due to prime locations and high-end amenities, including saunas and cold plunge pools. The overall landscape continues to evolve as competition grows.

Middle Street Partners Ventures into Atlanta’s Saturated Apartment Market with New Luxury Developments

Atlanta is experiencing a surge in apartment developments, as Middle Street Partners, a developer from South Carolina, has opened a new 273-unit apartment project named Westside Union at 400 Bishop St. in January. This is just the beginning of their expansion in the city, where they are also finalizing two luxury towers, The Juniper and The Reserve at Juniper, located in Midtown. These towers will add 480 new units to the already competitive apartment market.

A Saturated Market

The timing for these new projects falls within a historic surplus of apartment developments in Atlanta. In 2023 alone, over 24,200 new apartment units were introduced, breaking records in the process. Additionally, another 19,300 units are still under construction. This influx has made it challenging for new developments to attract renters.

Leasing Challenges and Strategies

While leasing for The Juniper towers has yet to commence, there is optimism surrounding their potential appeal. This is largely due to the towers’ proximity to the popular Piedmont Park. With expected average rents exceeding $4,000 per month, these luxury apartments will be nearly double the average rent in the Midtown area.

To enhance the attractiveness of their new developments, Middle Street Partners has teamed up with AECOM-Canyon Partners to offer high-end amenities. Prospective residents can anticipate features such as infrared and salt saunas, along with a cold plunge pool.

Current Trends in Apartment Leasing

The Westside Union project, which stands 11 stories high, is currently seeing leasing activity. Studio units are listed starting at $1,535, with three-bedroom units reaching up to $4,910. To remain competitive, the company is prepared to offer up to 10 weeks of free rent at Westside Union if necessary.

Market dynamics have led to increased vacancies in Atlanta, with overall apartment vacancies nearing 12%, an increase from 11.5% the previous year. The economic landscape is changing, with rents in Atlanta decreasing by 6.3% from September 2023 to September 2024. Out of necessity, many in-town apartment communities are providing various concessions to attract renters, with a significant portion offering up to two months of free rent.

The Future of Middle Street Partners in Atlanta

The Juniper towers will mark the conclusion of Middle Street Partners’ current pipeline of in-town projects. However, the company is not halting its operations entirely; they have plans for a new suburban apartment complex in Gwinnett County, which is located 30 miles north of Midtown.

While details regarding the Gwinnett project remain undisclosed, it signals that Middle Street is focused on maximizing its real estate ventures in a city characterized by both opportunity and competition. The collaboration of luxury living and strategic planning highlights an important shift in Atlanta’s apartment landscape.