CarterBlog

Carter Pursuing $500 Million in Development, Investments

Firm’s Focus Centers on Multifamily, Student Housing Projects and Office Investments

ATLANTA (Dec. 8, 2011) - With the sale of its brokerage and property management groups complete, Carter is focusing on new investment and development opportunities as well as growing its program management and strategic consulting groups.

Moving forward, Carter will leverage its 54-year-old brand to create value through its strong relationships. Specifically, Carter is focusing its efforts on the:

• Development of mixed-use and for-rent multifamily projects in urban infill locations.
• Equity development of student housing.
• Acquisition of opportunistic and value-add investments in office.
• Growing its well-established project management and strategic consulting businesses.

The firm’s more than 100 high-caliber associates will serve clients using a high-performance team-based approach that results in delivering maximum value for our clients and investors. This approach allows Carter to leverage the firm’s strong expertise and deep knowledge base in a wide variety of markets and product types.

“The sale of our brokerage services and property management businesses marks a milestone for Carter,” Chairman and CEO Bob Peterson said. “This transaction was a major step for us in executing our strategy to narrow Carter’s focus on building high-quality projects, investing in real estate and providing strategic solutions to our clients.”

Carter’s development business expects new opportunities to emerge as corporate and educational development begins to rebound. Carter is the No. 3 commercial developer in the United States, as ranked by National Real Estate Investor, and currently is overseeing The Banks, one of the largest mixed-use projects in the Midwest. Carter is master developer of The Banks, a $600 million development on the Ohio River in Downtown Cincinnati, Ohio. Late last month, Carter announced plans to double the size of the retail and multifamily components along with new marketing efforts for the proposed office component.

In the K-12 education realm, Carter is currently overseeing a $107 million public school building program in Enid, Okla.

The firm’s Interiors group continues to be a leading third-party provider to top law and financial firms and grown its business well beyond Atlanta. The Interiors group currently has more than 500,000 square feet under construction for clients such as AT&T, RockTenn and Starwood Vacation Ownership.

Carter’s Higher Education and Campus Innovation team is currently leading a $100 million program at the University of Louisiana Lafayette that comprises 2,000 beds and 900 structured parking spaces.

“Our 54-year history of development across the Southeast and beyond positions Carter to take full advantage of new development opportunities,” said Carter President Scott Taylor. “Our Development group is well positioned when it comes to developing and building out corporate, institutional and educational buildings and facilities.”

Carter’s Investments group is actively seeking new opportunities across the country. Vice Chairman Jim Shelton, who leads Carter’s Investments group, said he expects to see more high-quality assets to come to the market at distressed prices. Carter recently invested in City Federal condominiums in Birmingham, Ala., and Valencia condominiums in Ponte Vedra, Fla., and played a key role on Piedmont Office Realty Trust’s acquisition of The Medici office building in Atlanta.

The firm also serves as a service provider to Carter Validus Mission Critical REIT, which is focused on acquiring mission critical facilities such as data centers and healthcare facilities. John Carter, a Carter vice chairman, serves as CEO of Carter Validus Mission Critical REIT.

In other areas, Carter’s strategic consulting group has performed advisory assignments for seven major clients in 2011 alone. Carter will continue to deliver high-quality service and results from its asset management division, which oversees more than $2.5 billion of third-party and Carter-owned properties.

“Moving forward, you will see Carter aggressively leveraging our thought leadership and experience to pursue and participate in high-quality developments and investments on behalf of our firm and our clients,” Carter’s Peterson said. “We will do this while continuing to build on our core values of integrity, commitment and excellence.”

About Carter

Founded in 1958, Carter is one of the country's leading real estate development, investment, and advisory firms. The firm has headquarters in Atlanta and operations across the country. Carter focuses on development of mixed-use and multifamily projects in urban infill locations, equity development of student housing, acquisition of opportunistic office, project management and strategic consulting. Carter’s high-caliber associates create value for clients using a team-based approach that leverages strong expertise and a deep knowledge base in a wide variety of markets. Carter is the country’s third-largest commercial developer, according to National Real Estate Investor, with strong higher education, k-12, interiors, and corporate specialty practices. Carter also focuses on value-add real estate investment opportunities, currently overseeing a $550 million portfolio. Carter’s asset management division manages more than $2.5 billion of third-party and Carter-owned assets. Its strategic consulting practice provides clients with customized real estate solutions. As it has for 54 years, Carter will continue to build on the firm’s core values of integrity, commitment and excellence and strive for a culture based on trust and candor. For additional information on Carter, please visit http://www.carterusa.com.

 

Carter Welcomes Cassidy Turley to Atlanta (video)

ATLANTA (Sept. 8, 2011) - More than 1,000 people turned out to help Carter welcome Cassidy Turley to Atlanta. Here is the video of the official announcement given by Carter Chairman/CEO Bob Peterson and Cassidy Turley Chairman Wally Pinkard.

 

Carter Wins Watson Cup in Real Estate Softball Championship Game

By Bruce Propst, senior vice president, Carter

ATLANTA (August 24, 2011) – Carter wins back-to-back championships in the Atlanta Commercial Real Estate Softball League and retains possession of the coveted Watson Cup for another year. Winning successive titles in the highly competitive league is a rare feat not often accomplished over almost 30 years of the league’s existence. I think the team was inspired this year to go out on top as this was the last year that a Carter team will be in the league. The pending acquisition of Carter’s brokerage and management businesses by Cassidy Turley means that the CT team will have to pick up where the Carter team left off.

Carter has been in the league from the very start and played an integral part in the league’s founding.  In the early 1980’s, a Carter broker and former Georgia Tech baseball player named Larry Entrekin came up with the idea that Atlanta’s commercial real estate firms ought to form a softball league. I was the youngest broker at Carter at the time so I was given the task of calling all of the major brokerage firms at the time to see if they would be interested. The response was very positive and soon thereafter the formative league meeting was held in Carter’s offices then located at 1100 Spring Street. For many years the league enjoyed playing at the old Hellenic Center on Cheshire Bridge Road (thanks to Pete and Andy Alexander and John Micha) until the property was purchased and redeveloped as apartments, which somehow seems appropriate for a commercial real estate league. The league now plays games at Pace Academy’s Warren Road Field. Dave Watson, now with Grubb & Ellis, was the first real League Commissioner and served in the position for many, many years until the current commissioner, Doug Smith of Seefried Properties, took over.  

I asked Ward Entrekin, Larry’s son, who is a former college baseball player himself (Gator) and Carter’s shortstop, for his perspective on why the league had remained so successful over the years. 

“When you provide a competitive and social outlet for brokers that compete against each other every day for business and you throw in free beer and good food provided by generous landlords, you have a winning combination,” said Ward.

The 2011 Championship Carter team included John Akin, Jack Arnold, Watson Bryant, Ward Entrekin, Tim Farley, Eli Green, Ryan Meehan, Preston Menning, Bo Moore, Spence Searcy, Beau Terrell and David Zanaty.

Thanks to the Carter team, Doug Smith, Pace Academy, the generous landlords/food and drink sponsors, and all the teams participating this year for another great year of real estate softball. Watch out for that Cassidy Turley team, I hear they are pretty tough to beat.

 

Carter Represents SunTrust Bank in Headquarters Move to Midtown

ATLANTA (August 23, 2011) – SunTrust Bank has signed a 95,000-square-foot lease at Campanile in Midtown. Carter’s Kirk Diamond and SunTrust’s Doug Sinclair represented SunTrust Bank and Ridr Knowlton represented the building’s owner, Dewberry Capital.

As reported in the Atlanta Journal-Constitution, SunTrust will be relocating from its current offices Downtown at 25 Park Place next April.  The building was sold to Georgia State University in 2007. 

"Like Carter, SunTrust is a well-established, well-respected Atlanta-based company, and we will continue to work to ensure SunTrust Bank meets its real estate goals in the move to Campanile," Carter Senior Vice President Kirk Diamond said. 

Carter and BellSouth developed Campanile in 1987 as BellSouth’s headquarters. The name “campanile” means bell tower in Italian.

Dewberry Capital acquired Campanile in September 2010 and immediately began working on a full renovation of the property, including a re-glazing of the exterior, renovations of common areas and new building systems.  The project will result in a new state-of-the art building with high efficiency glass, new architectural features, new elevator, life safety and digital HVAC systems and upgraded amenities and lobbies.  Architects supporting Dewberry Capital on the renovation include Smallwood, Reynolds, Stewart, Stewart (who also designed both One and Two Peachtree Pointe, as well as Gallery Uptown in Dewberry’s Uptown neighborhood), and Houser Walker Architecture.  Dewberry Capital secured the same award winning team from Harmon, Inc that successfully completed (during occupancy) the glass replacement at the downtown Westin Peachtree Plaza, following the tornado in March 2008. 

“Campanile is a landmark project at a landmark location” stated John Dewberry, founder of Dewberry Capital.  “This asset deserves to be resurrected as the premier location in the city for in-town corporate residents”.  Dewberry added, “We were pro-active early on in securing the most accomplished teams for each facet of the renovation.  The designers and contractors selected represent the best in class.”  

Re-glazing is already underway with scaffolding installed and glass testing occurring this month.  The renovation project will continue into 2012. 

SunTrust Bank considered locations in both Midtown and Buckhead for their new headquarters location.  SunTrust will lease approximately 95,000 square feet on floors 3, 7, 8, 9 and 12.  Construction on their new space will begin this fall with a targeted occupancy of April 2012.  Following the SunTrust lease, Campanile is now over 50 percent leased with the remaining vacancy all on the top floors. 

“Campanile represents the quality of real estate SunTrust Bank expects for their headquarters” says Doug Sinclair, Senior Vice President of Corporate Real Estate for SunTrust.  Sinclair adds, “SunTrust wants to establish a highly visible presence in Midtown and this location is the premier corner”.

Ridr Knowlton, a Partner at Dewberry Capital, mentions, “SunTrust is one of Atlanta’s most desirable tenants, and we are very pleased to welcome them to Campanile.  The addition of SunTrust brings Campanile to over 50 percent leased ahead of schedule.  As we do with all our assets, we target the highest caliber tenants and have retained the top floors available to lease in the face of improving market conditions.”

Dewberry Capital has been the most active investor on Peachtree in Atlanta during the downturn, acquiring several key land parcels along Peachtree Street, as well as the trophy landmark Campanile Building.  

 

ULI Honors Former Atlanta Mayor Franklin, Others at Development of Excellence Awards

By Tony Wilbert, Wilbert News Strategies

ATLANTA (Sept. 17, 2010) - ULI Atlanta honored former Atlanta Mayor Shirley Franklin, developer Don Childress and the Southface Campus at its 16th Annual Development of Excellence Awards Dinner held at 200 Peachtree downtown.

ULI also honored Hotel Indigo in Athens, White Provision on Howell Mill Road and Piedmont Park Conservancy's "Greystone" redevelopment and pool in Midtown. These projects each won a Development of Excellence Award from ULI Atlanta. Southface's campus won the Sustainability Award.

One of the evening's highlights came when Mayor Franklin (pictured at awards, left) won the Dan Sweat Community Award, received two standing ovations. ULI selected Franklin for the award because of her work to increase sustainable development in the city (the Atlanta BeltLine) and for taking the courage to overhaul Atlanta's ancient sewer system. Franklin, who earned the name "The Sewer Mayor" for her efforts, said she was honored to win the award named for Dan Sweat, who devoted his work to improve the city.

"I know the tremendous contributions that Dan Sweat made in the latter half of the 20th century," she told the audience. "It's exactly what he expects us to do moving forward in the 21st century."

Don Childress, a co-founder of Childress Klein Properties, won the Frank Carter Community Achievement Award. The award is named for Frank Carter, who founded Carter as Pope Carter with Ewell Pope in 1958. Frank Carter earned the nickname the "Mayor of Midtown" because of his devotion to the district.

As part of the ceremony, ULI showed a video that featured Jack Guynn, former president and CEO of the Federal Reserve Bank of Atlanta; Billy Peebles, headmaster of Lovett School; and Tad Leithead, chairman of the Atlanta Regional Commission, talking about their relationships with Childress. 

"Don had the vision to make a major investment in Midtown when no one else was paying attention to it," said Jack Guynn, the former Federal Reserve Bank of Atlanta president who served with Childress on boards of groups aimed at improving Midtown.

Upon accepting the award, Childress said he was honored to accept an award named for Frank Carter, whom Childress described as "a fierce competitor and a real gentleman."

"Certainly, this is the highest honor I've had in my life," Childress said.