Who is the Gainesville Luxury Condo Target Market?

Further housing projects in the city center are in progress.

Gainesville Midland on Queen City Parkway is a 214 unit project approved by Gainesville City Council in August. Facilities include a rooftop club room, business center, coffee bar, fitness center, resort-style pool, pet spa, bike storage, indoor mail and package storage, and dry cleaning lockers.

William Norris, representative for Marietta-based McNeal Development LLC, said Gainesville Midland, which is slated to open by late summer 2023, also hopes to attract potential Brenau University residents.

He made particular reference to Brenau University’s Lynn J. Darby School of Psychology and Adolescent Counseling, which is to be built on the second floor of the $ 22.4 million Gainesville Renaissance under development on the plaza.

Norris said the complex should also benefit from the growth of NGHS and the residency program.

“Professionals have a desire to live in Gainesville,” he said.

Another downtown development is a 144-unit apartment building as part of The National, a $ 30 million multi-purpose project taking place where the old Regions Bank once stood on Green Street.

Jonathan Collins, president of Capstone Property Group, which is developing The National, said the company conducted a market study that found tremendous demand for luxury homes, with a local occupancy rate of 99% among the top-end units, often classed as class A, and the still beautiful, but not quite so luxurious, Class B apartments.

“And many (complexes) have waiting lists,” said Collins.

Demand is driven by a number of factors, including rapid employment and population growth.

“Those moves were factored out of the home price,” said Collins. “There is no such thing as a starter home world as we know it. Ten years ago you could build a subdivision and have $ 150,000 houses there. The cost of land and regulation, permits and building materials has driven these $ 150,000 households to at least $ 250,000 to $ 300,000.

“All of that growth in employment and population has to go somewhere. This has resulted in (people) being drawn to apartments. Households with an income of $ 75,000 cannot afford a home worth $ 400,000. You’re aiming for $ 250,000 that no longer exists. “

Renting “doesn’t involve a large down payment, and there are no maintenance costs or yard upkeep,” said Collins. “Empty nests see the same value as (younger buyers), so we see two converging, massive populations who, in large part, seek the simple convenience of apartment complex living.”

Peach State Bank & Trust President Ron Quinn said that “although the apartments that are (have) higher are still likely to be cheaper than someone trying to save for a down payment.”

Evans said that “renting before you buy is not a new strategy for newcomers to learn about the local property market before making a long-term commitment”.

He added, “However, in this housing market with limited supply, renting an apartment can be a better option to relocate talent, settle in and take more time looking for a home to buy.”

The upscale housing boom isn’t just limited to Gainesville. South Hall is growing tremendously.

The Crest at Flowery Branch opened on Phil Niekro Boulevard in Flowery Branch and The Atwater at Flowery Branch opened on Martin Road on the border of Flowery Branch and Oakwood. And construction of a 342-unit apartment complex on Hog ​​Mountain Road across from Cash Road and next to Flowery Branch High School is well underway.

There’s a difference in the markets, however, as Gainesville is more urban and South Hall is more suburban, Evans noted.

“There are also differences in development costs, density, and rents required by the developer,” he said. “Downtown Gainesville offers a very pedestrian-friendly urban environment, but that comes with higher land costs and the added cost of vertical building and parking.

“Garden-style homes that you might see in less urban centers usually have amenities like a community center, swimming pool, playground, tennis courts, and green space. These amenities are often left out of higher density urban developments due to limited space, but these features may be within walking distance. “

Gillis said the Solis location was ideal and said he believed “this development will simply destroy it”.

“That will probably give us a bit of heartburn for a while,” he added, “but I think it will probably be nuanced enough and there is so much demand that the two of us can co-exist.”

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