Student housing developer Landmark Properties has acquired a portfolio of multifamily developments from Atlanta-based developer Haven Communities as it expands in its target Southeastern markets by diversifying into apartments. 

Haven’s teams will integrate into Athens, Georgia-based Landmark to comprise a new multifamily division as part of the deal, which was completed for an undisclosed amount of money.

"There are many parallels between the student housing industry and the multifamily industry," said Andrew Costas, senior director for development at Landmark Properties (pictured above). "At the end of the day, we build multifamily buildings. The unit mix is just tailored to a different resident profile."

Jay Williams, Haven founder and CEO, and the former Haven team will serve as the foundational development team for Landmark’s multifamily division, according to a press release.

"While it is bittersweet to move on from Haven and everything we have accomplished in the last 10 years, the opportunity to work with Wes and the Landmark team was something I could not resist," said Williams, now a managing director of Landmark. "I have a tremendous amount of respect for Landmark and all they have accomplished in student housing, and I am excited to play a part in their continued growth."

Currently, Landmark’s portfolio comprises more than 80 student housing properties nationally and over 51,700 beds. Landmark will deliver two new multifamily projects within the next 24 months, both located in Sun Belt cities.

Atlanta isn’t uncharted territory for the firm, which currently manages $7.7 billion in assets and has another $2.4 billion under construction. For the past 18 years, Landmark has scaled from building low-density cottages and townhomes in college markets to large buildings in urban locations in markets such as Berkeley, California, Seattle, Washington, D.C., Atlanta, Austin, Texas and Los Angeles. These metros are also part of its plans for multifamily expansion, Costas told Multifamily Dive.

"Our target multifamily markets are markets we know well where we have successfully sourced, designed, entitled and leased projects," Costas said.  

Operational growth

Landmark’s new multifamily division will join the company's build-to-rent division in its 16,000-square-foot office space in the Buckhead neighborhood of Atlanta. The firm has increased its office space in anticipation of increased growth as it hunts for new talent in the market, Costas said.

As it expands to multifamily, Landmark will continue relationships with many of its same operating partners. The firm has cited these partnerships to not only its navigation but growth amid a flood of institutional capital into the student housing sector over the last 10 years, which has seen significant maturation. 

Landmark’s vertical integrated platform, including general contracting, development, investment management and property management, has powered its growth in the student sector. Costas said that platform will help it grow in multifamily.

“We expect competition as we enter the multifamily space, but we feel our strategy and execution capabilities will enable us to excel in the space,” Costas said. 

Landmark currently has 1,000 employees, many of whom have a multifamily background. Costas said multifamily operations should increase the firm’s aptitude for complex financing solutions and provide greater market and construction cost data across throughout its markets.

"Being able to share the institutional knowledge to hit the ground running is a major benefit for our organization," he said.

Click here to sign up to receive multifamily and apartment news like this article in your inbox every weekday.