Lucern Capital Partners acquires Scarlet Pointe Apartments, a 274-unit multifamily asset in the burgeoning West Charlotte submarket.
RED BANK, NEW JERSEY – Lucern Capital Partners, a real estate private equity firm based out of New Jersey, announces the acquisition of Scarlet Pointe Apartments (108 Park Fairfax Drive and 1307 Springmont Lane) in Charlotte, North Carolina for approximately $29 million. The deal was purchased through the firm’s fund, Lucern Multifamily Value Fund I, L.P.
This acquisition marks the fund’s sixth acquisition in Charlotte in the last four years. Scarlet Pointe is a 274-unit asset located in the Freedom Drive corridor, which has seen a dramatic revitalization in recent years with the development of medical facilities, new restaurants and access to government funding. The asset is also located less than one mile from FedEx Ground’s Charlotte Hub, CSX Intermodal Rail, and thousands of other manufacturing jobs. Charlotte Douglas International Airport, home to 30,000 jobs, is also located two miles from the asset.
“We are thrilled to continue investing in real estate in the Charlotte MSA and, more broadly, throughout North Carolina,” said Frank Forte, Managing Partner of Lucern Capital Partners. “Charlotte’s story gets better with each passing year. We expect this trend to continue as a result of population and demographic growth patterns, which have been further exacerbated by the COVID-19 pandemic. We look forward to continuing our contributions to the MSA’s notable growth while providing quality multifamily rental properties that suit the needs of a variety of tenant profiles.”
The firm is betting on the continued sprawl of the Charlotte rental market both North and West of Uptown Charlotte. North and West Charlotte have historically posted some of the highest year-over-year submarket rental growth figures. These areas emerged as pockets of swift gentrification. In North and West Charlotte, investors are sheltered from the high notional and per square foot rents in the urban core and benefit from thousands of nearby employment opportunities.
Founded in 2016, Lucern Capital Partners is a real estate investment firm that actively targets multifamily and mixed-use assets along the U.S. East Coast with a focus on North and South Carolina MSAs and the Philadelphia area. The firm seeks compelling risk-adjusted yields for stakeholders through its investments in core-plus, value-add and opportunistic return profiles.