CARROLL Follows Its Record Year with a Strong Start to 2022
Portfolio Growth and Executive-Level Hires Highlight the National Real Estate Firm’s Q1 Activity
CARROLL, a national real estate investment firm, released a new report highlighting its Q1 activity for 2022. Entering its eighteenth year, the Firm continued its commitment to long-term success by reinvesting in key growth drivers: people and services. CARROLL added executive-level hires and new verticals to the organization’s growing repertoire, aimed at delivering competitive service offerings to investors. Transactionally, the Firm maintained its momentum from 2021, executing six transactions across three states, continuing its strategic focus in the Sun Belt region.
“I am pleased with CARROLL’s strong start to 2022. After our record year in transaction volume [in 2021], we continued to grow our portfolio and maintain our focus on delivering the quality end-to-end services that are synonymous with the CARROLL brand,” said M. Patrick Carroll, founder and CEO of CARROLL. “In addition to strengthening our portfolio in Q1, we have positioned ourselves for a successful 2022 and beyond through key hires that will support the long-term goals of the organization.”
Transactions and Portfolio Performance
During the first three months of 2022, CARROLL executed six deals – five acquisitions and one disposition – totaling nearly $455 million in transaction volume.
The Firm began the new year by adding a community to its portfolio in Raleigh, N.C. The team would go on to add properties in Tampa, Miami, and Orlando through subsequent transactions. These Florida acquisitions came on the heels of a 12-property purchase the Firm completed in December, bringing the Firm’s total presence in the state to more than 15,000 units during Q1, and strengthening its presence in the Florida markets. CARROLL continues to be bullish on Florida’s fundamentals and the exponential growth it has seen in the market. The Raleigh-Durham deal was a value-add opportunity that represented increased exposure to the economic and population growth of the area.
After nearly a four-year hold, CARROLL successfully exited an upscale Houston community in February. The 321-unit property was initially acquired in May 2018 using Carroll Multifamily Real Estate Fund V, LP. Throughout the hold, the community provided residents with access to a diverse mix of employment, entertainment, shopping hubs, and green spaces.
Beyond its investments, CARROLL maintained the momentum of expanding its fee-managed services. The Firm was awarded a third-party contract for 12 different communities across Austin, Texas – making its property management vertical one of the fastest-growing services under the Firm’s platform.
Overall, CARROLL’s portfolio performance saw an average physical occupancy rate of 94.6% while maintaining an annualized revenue growth of more than 8.5% for Q1. The Firm’s 90-day new lease growth was a notable 20.0%.
CARROLL strategically added three key executive-level hires in Q1. From business development to people management and ground-up development, these positions will help support CARROLL’s goal as a top place to work and create new avenues for short- and long-term organizational expansion.
- • Franco Minton, a multi-industry veteran with more than 20 years of human capital resourcing and development experience, was hired to lead CARROLL’s People Team. The addition of Minton and his expertise will further drive the Firm’s pursuit of building diverse, high-functioning teams across the country.
- • To spearhead CARROLL’s ground-up development venture, Stephen Hendrix was hired in February as the Firm’s Executive Vice President of Development. He brings more than 27 years of multifamily development/construction experience to the Firm, including an extensive portfolio of large-scale, high-profile, and high-density apartment communities in the Sun Belt.
- • Rob Gayle was hired to serve as Vice President of Business Development. As COO at Preferred Apartment Communities, Inc., Gayle’s 25-plus years of experience represents a solid foundation for the Firm as it seeks to be among the premier property management partners for U.S. real estate ventures.
In its ongoing commitment to community outreach, the Firm launched a new initiative in February – ARIUM Reads – as part of its CARROLL Community Impact program. ARIUM Reads, a partnership between CARROLL and Little Free Library, will provide each community in the portfolio with a Little Free Library kit to further the mission of “empowering communities through storytelling.” During Black History Month, the Firm’s Diversity & Inclusion Council, donated books written by Toni Morrison and Ralph Ellison to jumpstart each library’s collection.
Heading into Q2, CARROLL seeks to build on its strong start with additional transactions and continued focus on its development ventures. The Firm is exploring ground-up development opportunities in several MSAs throughout the Sun Belt, including Jacksonville – where a project in Fernandina Beach, Fla., is expected to break ground in Q2. With less than 1.5 months’ average of single-family supply and more demand for housing in general, CARROLL's ground-up development push will help provide much-needed units to a supply-constrained market.
CARROLL, a privately held real estate company, was founded in 2004. With headquarters in Atlanta, Ga. and regional offices in Dallas-Fort Worth, Raleigh, Denver, Tampa, and New York CARROLL focuses on multifamily communities, including acquisitions, property and asset management services, ground-up development and fund management. The Firm has raised more than $4.2 billion of equity through CARROLL-sponsored funds and joint ventures. CARROLL has successfully purchased, developed, or sold more than $18.2 billion in real estate.
The company manages more than 34,000 multifamily units across eight states representing $8.8 billion in assets under management and has purchased other multifamily owner/operators throughout the U.S. CARROLL has also developed student housing, single-family residential, and retail communities, and has managed more than $500 million in construction projects throughout the past 10 years. From due diligence to execution, CARROLL has the internal capabilities and the external relationships to identify, underwrite, and close transactions.