CLEVELAND, March 8, 2022 /PRNewswire/ -- The NRP Group, a vertically integrated, best-in-class developer, builder and manager of multifamily housing, plans to break ground on more than 6,000 apartment homes in 2022, exceeding all previous NRP records of multifamily construction starts in its 28-year history. The Cleveland-based developer will begin construction on 23 new affordable, market rate and mixed-income communities this year representing a total of $1.9 billion in real estate investment. Additionally, the firm's rapidly growing third-party construction business anticipates adding an additional 2,500 starts.
"Starting with a firm foundation in our rigorous NRP underwriting process, which is meticulously refreshed as inputs change on the ground, and our creative approach to problem solving, we remain focused on achieving our aggressive goals for 2022 in spite of the macroeconomic headwinds," said J. David Heller, President and Chief Executive Officer of The NRP Group.
Mr. Heller went on to say, "Several factors come into play: our national buying power, extensive long-term planning across business functions, creative approach to filling in capital stacks, the maturation of new NRP markets, the resilience of our A+ Players, and the strength of our time-tested public and private partnerships have all enabled us to overcome even the most challenging business cycles, and we are applying the same principles in today's very difficult environment."
The 23 projects will serve a balanced mix of resident needs, with 11 market rate developments totaling 3,762 units; 10 affordable developments totaling 1,865 units for residents at or below 60 percent of the Area Median Income; and two projects with 658 apartment homes in which half of the units are priced at market levels and half priced for residents at 80 percent of the Area Median Income. Planned construction starts are distributed across the NPR footprint in Texas, the D.C. Metro, New York, New Jersey, Florida, North Carolina, and Ohio.
"Approximately 30 percent of the new starts for NRP in 2022 are coming from NRP expansion markets that we've entered into within the last five-to-seven years such as the D.C. and New York metros," said Ken Outcalt, Principal and President of Development at The NRP Group. "With strong production coming from our well-established markets across Texas, Florida, North Carolina, Ohio and others, we look forward to many years of providing a high volume of exceptional multifamily rental housing to individuals and families, regardless of income."
In addition to new construction starts, The NRP Group will open and begin leasing a record 24 new communities totaling 5,960 market rate, affordable, and moderate income apartment homes across the NRP footprint.
Some notable community openings in 2022 represent the culmination of efforts by NRP over the last 7 to 10 years to pursue a strategy of "Health and Housing" in which the company partners with hospitals and non-profits to improve social determinants of health. NRP achieves this by viewing the neighborhood itself as a patient to be healed and creates safe, high-quality affordable housing combined with other support services, such as career training, healthcare monitoring and financial counseling that are available to both residents and the local community. Two properties that follow this concept and are opening in 2022 are Via Sana and 5115 at the Rising.
In partnership with MetroHealth and several other public-private partners in Cleveland, Via Sana will deliver 72 affordable apartment homes along with a 4,500 square Economic Opportunity Center that will provide employment, financial literacy, and digital literacy training programs to residents and the surrounding Clark-Fulton neighborhood.
5115 at the Rising will provide 88 affordable apartment homes to Cleveland's Slavic Village neighborhood. It will also be a new home for development partner and non-profit University Settlement, which will relocate its offices to a 20,000-square-foot commercial space on the ground floor of the affordable development, helping to breathe new life into the organization's goals of economic rebirth, community revitalization and preservation.
"NRP's health and housing initiative is very unique in that it allows our organization to provide a wide array of helpful services to residents that will put them on the path for long-term success," said Aaron Pechota, Executive Vice President of Development and Head of Affordable Housing. "With health and housing we can go beyond providing just the physical spaces in which people live and partner with renowned organizations to help create life changing opportunities for the communities that need it most."
About The NRP Group
The NRP Group is a vertically integrated developer, owner, builder, and manager of best-in-class multifamily housing. Since its founding in 1994, NRP has developed more than 50,000 apartment homes, and currently manages over 26,000 residential units. The company employs the entire breadth of its in-house capability to fulfill its mission: creating exceptional rental housing opportunities for individuals and families, regardless of income.
Through its disciplined approach to vetting opportunities, NRP has established a track record of delivering impressive returns for investors. The company's formidable size and depth of talent provides the experience and infrastructure necessary to execute developments of varying degrees of complexity and scope in both urban-infill and suburban locations, including market-rate, affordable, and senior housing. As a three-time recipient of the NAHB Multifamily Development Firm of the Year award and recipient of the NAHB Builder of the Year award, while being recognized annually as a Top 25 Developer and Builder by NMHC, NRP is leveraging its decades of expertise by also providing construction and property management services to outside owners and developers. For additional information, visit www.nrpgroup.com