AEW Forms $34M Apartment Venture

SANTA MARIA, CA-AEW Capital Management LP of Boston has formed a joint venture with Santa Maria Development Partners LLC to develop a $34 million, 208-unit townhouse-style apartment complex called Bradley Square Townhomes.

The Boston-based real estate investment advisory firm describes the development venture as the latest in an ongoing investment program developed by AEW and one of its institutional clients to invest in the development or redevelopment of multifamily properties located in markets with an under-supply of affordable housing. Genia Demetriades, a VP and apartment specialist at AEW, notes that although Santa Maria “has become the affordable housing alternative for the Central California coast,” no high-quality apartments have been developed there for more than 10 years. She says the new project will be designed for middle-income families who want a “truly class A apartment option.”AEW’s partner in the venture, Santa Maria Development Partners, is a partnership between Millennium Enterprises and Holland Partners, both of which have developed and managed multifamily properties in the Western United States. Established in 1985, Millennium is a family-owned investment and real estate development company that has structured more than 45 joint venture real estate projects involving land development, multi-unit housing, retail center development, industrial projects, luxury resorts, golf courses and hotels. Holland Partners is a privately held real estate company focused on the development, acquisition and management of multi-family communities in target West Coast markets. It was established in 2000 and has initiated the development of just under 1,000 units in five projects in California and Washington. In previous partnerships, the principals of Holland have developed and repositioned more than 12,000 units in 45 projects in major West Coast markets.