The Project
The units were developed and built on Clements Ferry Road near Daniel Island. The location is strategically between the Charleston Historic District and the International Airport. Construction, despite COVID-19 and supply chain issues, was completed on budget.

Excellent result
The buyer was a New York City based private company with multi-family assets located throughout the Southeast. Taco Ulrich, Partner at Westplan, says: “Based on the sale price and short term of the investment (completed a year earlier than projected) our investors achieved an IRR of 39% and a gross equity multiple of 2.2x. This is an excellent return for a 2-year investment”.

US multi-family market
The demand for apartment unit in southeastern cities where Westplan has been active for many years continues to grow. Westplan plans to begin construction of over 1,000 new multi-family units in the next two quarters. “Rising construction costs and the supply chain issues are definitely concerns,” according to Ulrich. “However, to date these have been fully offset by rising rents and sales prices. Westplan is an efficient and agile organization which is critical in these challenging times.”

Westplan’s investors, who are looking for solid risk adjusted returns, have set their sights on the multi-family market in the Southeast US. They are attracted to these areas where rents are not regulated like many European markets. For buyers, they are viewing our projects as an inflation hedge as rents continue to climb. Therefore, Westplan also plans to sell approximately 1,000 multi-family units in Charlotte, Nashville, Houston and Dallas during the first half of 2022.