ASREF II's $13.5M preferred equity investment will fund the construction of the Preserve at Hanover Park, a 280-unit workforce apartment complex in Beaufort, South Carolina.
ASREF II’s $13.5M preferred equity investment in Portage Real Estate, LLC, and Piedmont Private Equity will fund the construction of the Preserve at Hanover Park, a 280-unit workforce apartment complex. The Preserve at Hanover will feature a mix of one-, two-, and three-bedroom apartment homes housed in eight garden-style residential buildings on a nearly 20-acre site. The project will be the closest apartment community to historic downtown Beaufort and the Spanish Moss Trail. Of the total 280 units, 148 will be one-bedroom, 120 will be two-bedroom, and 12 will be three-bedroom units.
Unit interiors will feature high-end finishes, stainless steel appliances, smart-home technology, and in-unit washer/dryers. Common area amenities include a state-of-the-art fitness center, a resort-style swimming pool, and pickleball courts. When completed, the Preserve at Hanover Park will deliver high-quality housing to low-and moderate-income households earning 115% or less of the area median income (“AMI”).
| Asset Type | Multi-Family Residential |
| Development Type | Ground-Up |
| Previous Use | Vacant Lot |
| Investment Closing Date | March 20, 2024 |
| Total Development Area | 285,776 SF |
| Construction Timeframe | Start: 2024; Finish: 2026 |
$53.9M
$53.9M
$13.5M
$8.1M
$21.6M
American South Capital Partners collects each project's census tract income level at the time of close as part of CRA reporting guidelines. Source: Federal Financial Institutions Examination Council Geocoder.
PORTAGE REAL ESTATE, LLC was founded by John D. Cattano in 2020 to take advantage of supply gaps in the housing market that exist in secondary and tertiary markets in the United States. The development thesis targets and identifies “emerging” submarkets within MSAs where the natural progression of growth and progress will likely occur.
PIEDMONT PRIVATE EQUITY, LLC (“PPE”) is a privately-held real estate operating and investment company founded in 2008 and headquartered in Atlanta. The firm also has significant operating partnerships in both Charlotte, North Carolina, Charleston, South Carolina and their surrounding areas. PPE and its principals have developed or acquired over $5 billion of properties, primarily in the Southeast. The firm strives to remain a leading Southeastern-oriented real estate company centered around long-term relationships, competency, disciplined capital and a passion for the industry.
| Location | 139 Robert Smalls Pkwy, Beaufort, SC, 29906 |
| Area | Hilton Head Island-Bluffton Metropolitan Statistical Area |
| LMI Community Status | Middle |
| Unemployment Rate | 4% |
| Poverty Rate | 20% |
| % Minority | 50% |
Beaufort, South Carolina is a historic coastal town on Port Royal Island, one of South Carolina’s coastal Sea Islands. Located between Savannah and Charleston, Beaufort is well-renowned for its antebellum architecture, scenic waterways, and vibrant cultural scene. It is a historical city, founded in 1711, with a population of 13,722.
Today, Beaufort has a rapidly growing population as a result of its high quality of life and idyllic location. From 2010 to 2020, Beaufort County experienced population growth of 20.4%, and from 2020 to 2030, it is projected to grow 17.7%.
CoStar News reports on ASREF II's close of The Preserve at Hanover, a 280-unit apartment complex across eight residential buildings that will be aimed at Beaufort, South Carolina’s low- to moderate-income households.
SDS reports on $174M ASREF II closing financing for development of a 280-unit workforce housing complex in Beaufort, SC in its third time working with Piedmont Private Equity.
