Area Announcements Affect Real Estate Values in Metro Atlanta
As an agent for 35 years, I am that real estate agent that truly loves real estate. Yes, at the gym, or riding in a car on vacation, or, sunning on the beach, you will find me reading the Atlanta Journal-Constitution, Atlanta Business Chronicle, Neighbor Newspapers, Realtor Magazine, and the list goes on and on. I have this keen thirst for knowledge about what is happening and where and when in my home of over 50 years, Atlanta. Therefore, I decided local investors and rehabbers would really appreciate a synopsis of events affecting value in our city. I am breaking these events into area factors or areas of town for your convenience.
Several factors in Metro Atlanta are affecting area growth:
- Technology: Technology has been a huge factor adding to the growth of Atlanta. The President of the Technology Association of Georgia (TAG), Tino Manytella, has done an excellent job for Georgia, especially Georgia Tech. During his tenure here, the following has happened:
- There are 85,000 openings for software application professionals with only 12,000 applications bringing more young professionals, and businesses closer to youth.
- Atlanta ranks No. 5 nationally of top cities to build and grow a business.
- Money Georgia has jumped from No. 11 to Number 5 in one year with $2.94 Billion in technology investment.
- NCR is moving its headquarters to Technology Square as well and bringing 5000 jobs with it.
Georgia Tech area alone has development announced of over 1000 residential units, 100,000 sf of retail, and 1.2 million sf of office.
TOD - Transit Oriented Development: Marta Stations More and more people are choosing to live close to Marta Stations, as parking and traffic continually are a problem in Atlanta. Marta stations are creating their own ‘micro markets”, becoming a center for investors, developer, and corporate offices.
- Rent premiums for apartments close to a Marta Station are currently at 9.8 over rents not close to a station.
- In midtown. Apartment vacancy rates are 4.9% compared to 7.4% on similar projects.
- In central Perimeter Market, apartment rental rates are $250 more per month versus units not close to Marta.
Area TOD’s at Marta Stations include Chamblee and Dunwoody (State Farm will employee over 3000 people).
- Atlanta Beltway: The Beltline which is a 22-mile pathway connecting old railroad track is expected to have a bigger impact on the city of Atlanta than the Olympics. Although the eastside of the beltway is very developed, and as expected, huge private development followed. The Westside is now being developed to include:
Inside the Perimeter I-285 North of I-20
- Fuqua Development is planning a 4-acre mixed use development at Beltway Eastside Trail at Piedmont Park including a new hotel.
- The Civic Center 19-acre tract at the corner of Piedmont Road and Ralph Mc Gill is under contract for $30 million for a $450 million redevelopment.
- Herndon Homes, a true eyesore along Northside Drive near the new Mercedes Benz Stadium is being redeveloped into 700 residential units with retail spaces throughout.
- Mercedes Benz Stadium is Atlanta’s new $1.4 Billion Falcons Football Stadium slated to open for 2017 season and host 2018 College Football Playoff National Championship and Super Bowl 2019.
- Georgia State University is building an $80 million student housing tower for 650 beds called 120 Piedmont.
- Brookhaven has new mixed use project coming to 18 acres at the Marta Station including 8 story office building, 125 key hotels, 340 apartments 170 condo units, 100 senior housing units and 56,000 sf of retail and restaurants.
- 44 acres along Marietta Blvd is being redeveloped into $200 million mixed use including 200 Pulte townhomes with rooftop terraces for views of downtown and Buckhead and 310 apartment units which will be called The Quarter Upper West Side. In addition, the developer is converting 90,000 sf for a movie studio.
- Steve Brock is developing 26 acres know as West Town along Atlanta Beltline for 120 new houses and 28 acres known as West Highlands for 160 lots just west of there. The gigantic Peachtree Dunwoody Pavilion in Sandy Springs at Pill Hill is being redeveloped into mixed use with over 1.5 million square feet being added to 340,000 sf of office and they are also adding 3000 parking spaces.
- South Decatur Village is a $30 million mixed use development at corner of Columbia and Kerr which will have direct access to East Decatur Greenway Path and the Avondale Marta Station.
- Doraville’s former 165-acre GM Plant is getting yet another movie studio, and now houses 2 new car dealerships.
Outside the Perimeter I-285 North of Atlanta
- Sandy Springs has landed the new $93 million Mercedes Benz headquarters which will be 225,000 sf on 12 acres and will house over 1000 employees. Adjoining this Ashton woods is developing the other 29 acres with 665 residential ownership units and 355 apartments. Glenridge Park will be a new park for the area as well.
- The $220 million City Center is under Construction in Sandy Springs which is a public private mixed use to house the City’s governmental offices as well as retail, and housing.
- 425 residential units and 10,000 sf feet of retail are coming to Palisades on 5.9 acres adding an east west connector between Peachtree Dunwoody and Perimeter Center Parkway.
- Gateway south has just opened in South Sandy Springs on 20 acres 20,000 sf of retail and 630 apartment units.
- Dunwoody is getting the new State Farm Headquarters and Alpharetta is getting a 220,000 sf creative campus geared toward Fortune 1000 technology companies.
- Cobb County is expecting the new $672 Million SunTrust Braves Stadium to open for the spring 2017 season. In addition to the stadium 350,000 sf of retail, 53,000 sf for an entertainment complex, 250,000 sf of office and a 260 room hotel will be opening alongside of the stadium.
- The Atlanta United Training Ground is just minutes from the new Stadium and will host major league soccer on 6 fields comprising 30 acres. It is a $50 million project.
- Lake Point Sports on 1300 acres next to Lake Lanier near Cartersville is on track to being the world’s largest and most unique destination for travel sports yielding 1 million visitors in its first year. It features state-of-the-art sports venues and five million square feet of amenities including onsite hotels, restaurants, themed retail, bowling, zip lines, water parks and much, much more.
- Forsyth County is getting Halcyon at Ga 400 and McFarland Road which will be anchored by a commercial village of 360,000 sf, 240 single family homes, 450 luxury apartment units, and 2 hotels.
- Gwinnett is getting an additional $1 billion mixed use development around the Infinite Energy Center including 3 new hotels.
Inside the Perimeter South of I-20
- Although everyone was shocked when the Braves decided to move to Cobb County, Turner Field is going to become the football stadium for Georgia State, adding a baseball stadium where the original stadium once stood, and adding $300 million mixed use development on the 67 acres that will include student housing, classes, offices and retail. This project will connect 1700 acres surrounding the project as well.
- Tyler Perry has purchased 330 acres of Fort McPherson for $30 million, and is developing 16 sound studios.
- Atlanta Airport is getting $200,000 mixed use project “Aerotropolis” on 30 acres near the new Porsche Headquarters including New Hotel.
- Grant Park is getting new $20 million, 110,000sf on 9 acres dining and entertainment district.
Outside the Perimeter I-285 South of Atlanta
- Dan Cathy (owner of Chick-fil-A) owns Pinewood Studios in Fayette County and is building a 234 acre mixed Use development outside to gates. Pinewood has its own Home Depot and employs over 2000 people.
- Selig Enterprises is venturing to La Grange to develop 552 acres into Great Wolf Lodge indoor water park and hotel to the tune of $170 million and building a 300,000 sf outlet and 200,000 sf village of retail, grocery, restaurants, hotel and office space.
- Home Depot opened up a 1.1 million sf warehouse in Henry county.
Outside the Perimeter I-285 East of Atlanta
- Covington Ga will be the new home of a 165-acre mixed use and movie studio
- Stanton Springs will house the new pharmaceutical company, Balxalta, which is part of 2600acre development.
Outside the Perimeter I-285 West of Atlanta
- Douglas County is lucky to get $75 million regional headquarters for McMaster Carr Supply Co on 100 acres which will start with 600 employees and balloon to over 1000.
We are all so fortunate to have businesses in the real estate industry in Atlanta which is one of the most robust development areas of the country. Noting the incredible amount of development listed above, get your real estate rehab projects or construction projects close to where other growth is happening, and, you will benefit from spillover, or, at worst, add a sales benefit to them buying your property near such activity.
Please know that I love real estate, and anything I can do to help you, just give me a call or email.