GTIS Partners, a global real estate investment firm, today announced a joint venture with Collett Industrial, a commercial real estate agency based in Charlotte, North Carolina, according to a press release.
The aim of the partnership is to acquire two projects spanning 1.2 million square feet of industrial space in the Greenville-Spartanburg (“GSP”) Metropolitan Statistical Area, accounting for a total of $140 million in capital.
One of the projects is at Willimon Business Park, which covers 520,000 square feet in long-term tenant occupancy. Both the acquired areas are located close to each other and within the same Opportunity Zone, a term used for “an economic development tool that allows people to invest in distressed areas in the United States.”
The zone is to the east of South Carolina Technology & Aviation Center, a business park in South Carolina that provides office space for more than 110 companies.
“With a focus on Opportunity Zone properties specifically, we are also pleased to bring more jobs and economic opportunities to these communities, and look forward to encouraging development across the region,” said Robert McCall, a Senior Managing Director at GTIS Partners, in the release.
The locations of the projects are conducive to access for regions around Greenville: south to Charleston and Atlanta, and north to Charlotte, Raleigh and Durham, according to the release.
The statement explains that the Greenville-Spartanburg market industry operates on a robust workforce, locations close to the Port of Charleston and Inland Port Greer, and the region’s history of manufacturing.
“We’re excited to continue our investment in the GSP market alongside our partners at GTIS,” said Teddy Hull, a Collett Industrial principal, in the release. “The success we’ve seen at Willimon Business Park to date is testament to the numerous competitive advantages across GSP, including a strong labor force and commitment by local municipalities and the Greenville Area Development Corporation to attract and retain quality businesses.”
This new venture highlights GTIS’ expansion in the industrial acquisition space and with the two projects, its portfolio will now comprise 13 million in square feet and a total project cost of $1.25 billion across 14 projects, the release says.
The acquisition corroborates a forecast on South Carolina’s real estate market which is stronger as compared to the U.S. market overall, according to a Q2 2021 report by National Association of Realtors (NAR). This includes apartments, offices, industrial, retail and hotel properties.
NAR has also predicted Charleston, SC, to be one of the top 10 markets to perform well in the post-COVID period. Realtor.com estimated the city to be well suited for buyers looking to avoid overcrowded cities. The Charleston Regional Business Journal in 2019 attributed this growth to affordable housing, job opportunities and a strong local economy.
Other examples in the region include RangeWater, a multifamily and build-to-rent developer based in Atlanta, closing on 17 acres of land with the aim to develop 155 single-family housing rentals, as reported by FinLedger. Located in the West Ashley community of Charleston, SC, the land will house 3-bedroom and 2-bath townhomes.
PunchListUSA, a real estate tech company in Charleston, providing digital national home inspection data, also closed on a $39 million funding in July 2022, as reported by FinLedger. The aim of the fund is to generate repair and renovation estimates and expand its office spaces, spanning across over 30 markets through the next year.
In other recent proptech news, Apartments.com released a report for multifamily rent growth trends for July 2022. Chime also launched Social Studio, a new social media tool, to automate real estate marketing.