At West Ave. Apartments, a Gables development, rent is going for 1.65 - 1.98 psf. As a new development during an unstable economy, one of their biggest challenges has been finding retail to fill their 2 stories of retail surrounding the entire project. Their retail is 41% leased. If they changed the 2nd floor from retail to residential they would lose 10 basis points.
Fortunately, their residential has been quick to lease, and the developer explained that the reason for their success was their strategic and careful investigation of the area. They purposefully only build in higher income areas (EPN locations) in order to meet their rental rate requirements. They also purposefully avoided the medical area because rents are too expensive for nurses. In the long run they feel that the "Location will take care of us."
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Location:West Ave Apartments
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