Brookfield Residential is teaming up with Kolter Group to expand both land development and acquisitions in the Southeast regions of the country.
Under the collaboration, Kolter will use its land business combined with Brookfield development group to lead the efforts. More specifically, Brookfield will leverage its experience in real estate investments, with Kolter utilizing the resources it has in the Southeast. The plan is for the duo to supply builders with completed mixed-use pads and residential lots.
"Our partnership with Brookfield Residential represents a significant milestone for Kolter Land. Our shared vision, and complementary strengths, position us to be the land developer of choice in the Southeast," Jim Harvey, president of Kolter, said in a statement.
"We look forward to a successful collaboration that will benefit our Partnership and the communities we serve."
Adrian Foley, president & CEO of Brookfield namely singled out the "growing demand" for residential in Tennessee, Georgia, Florida, and the Carolinas. The developer is known for its master-planned communities, homebuilding, and providing lots to third parties.
Overall, the multifamily sector produced a strong third quarter, with net absorption hitting 153,000 units, the second-highest level on record, according to a report from CBRE. However, some regions struggled with high supply including the Southeast, South Central, and Mountain ones. Year-over-year rents dipped between 4.7 percent and 8.1 percent in Austin, Jacksonville, and Raleigh, respectively.
Kolter has sponsored more than $29 billion of real estate projects and operates four residential developments in the Southeast, which covers Georgia, Florida, the Carolinas, and Tennessee.