The Avenues at Atherton


Overview

Asset Size: 31,000 SF
Location: Charlotte, NC
Product Type: Street Retail
Strategy: Capital Appreciation

Opportunity & Strategy

  • Dislocated Market – Abacus identified a temporary dislocation between the leasing and capital markets in this specific micro-location whereby prevailing rental rates implied stabilized values that far exceeded replication costs
  • Fortress Location – asset is located adjacent to one of Charlotte’s highest demographic neighborhoods (Dilworth) and directly across the street from Atherton Mill, arguably the city’s most transformational development project at the time of acquisition in one of its most institutionally sought-after and dynamic submarkets (South End)
  • Operational Upside – previous ownership historically under-invested in the project, resulting in an in-place occupancy rate of 38% at time of acquisition
  • Tactical Maximization of Rents – Abacus implemented a strategy to lower the floor slab on approximately one quarter of the net rentable area by nearly 4’ to create dramatically more leasable space and capture highly accretive rental rates