Corten Real Estate Supports Featherstone’s Acquisition Of Meriwether Place
WILMINGTON, Del. and PHILADELPHIA, Jul. 26, 2021 – Corten Real Estate has provided $7.0 million of participating preferred equity to support the acquisition and repositioning of Meriwether Place Apartments (the “Property”) by an affiliate of Featherstone Partners (the “Sponsor”). The Property is a 16-building, 256-unit garden style/workforce housing community located in Durham, NC. The opportunity was sourced directly through the Sponsor, which needed to identify a capital provider with a track record of closing deals in a highly efficient manner. Along with a senior loan from a third party and an additional equity infusion from the Sponsor, the Corten investment facilitated the acquisition and will support renovations to the apartments and upgrades to other parts of the campus. Corten funded the investment through a separate account it manages, closing the deal on July 14th.
Built between 1996 and 1998, the ~26-acre campus consists of 16, 2-3 story buildings (including a community clubhouse), 510 parking spaces, and campus-wide amenities including a laundry facility, fitness center, business center, swimming pool, basketball court, playground, grilling stations, picnic area, and pet park. The Property is located in East Durham, a bargain submarket with strong workforce housing demand that has weathered the pandemic very well and benefits from being strategically located in the middle of several employment hubs, including: (i) Duke Regional Hospital; (ii) Duke University; (iii) Downtown Durham; (iv) the Research Triangle Park (“RTP”); (v) the Northgate Mall mixed-use redevelopment; and (vi) Treyburn Corporate Center.
Managing Partner P.J. Yeatman indicated, “Meeting the time sensitive needs of the Sponsor to acquire a solid multifamily asset, especially in a market where we have strong conviction and prior investments, is clearly right in Corten’s sweet spot. We are fully supportive of Featherstone’s strategy to drive growth here.”
About Corten Real Estate Management LLC
Corten Real Estate Partners is a highly experienced operator and investor that focuses on special situations involving middle-market office, hospitality, and multifamily real estate. The firm has particular expertise in providing creative capital solutions to stakeholders experiencing stress, distress or some other unique catalyst. Corten is headquartered in Wilmington, DE, with satellite offices in the Washington, DC and Philadelphia PA metro areas and property management resources across the U.S.
About Featherstone Partners
Featherstone’s leadership team, led by founder Charles R. Patty Jr., has extensive real estate investment expertise, having executed on over 100 transactions, including 65 multifamily deals spanning nearly 14,000 units. Featherstone’s strategy is based on identifying under-performing assets in growth markets that have strong economic demand drivers and high demand for workforce housing.