FORT MYERS, FL & PHOENIX–(BUSINESS WIRE)–SVN | SFRhub Advisors and SVN | Lotus Commercial Real Estate Advisors are working with southwest Florida’s award-winning, private homebuilder, Neal Communities, to break ground on a Build-for-Rent (BFR) community in Fort Myers later this year, delivering the last tranche of built homes near the end of 2021. The 63-home detached single-family community, Mangrove Estates, is a short drive to the beautiful Fort Myers Beach, barrier islands and downtown. The projected $20 million community offers 3-bedroom plans of 1,531 sqft and 4-bedroom plans up to 2,064 sqft. SVN | SFRhub Advisors is teaming with Jerry Anderson, CCIM of SVN | Florida Commercial Real Estate Advisors, the local Broker of Record (BOR).
For the first time in U.S. history, rental household growth is outpacing home ownership and communities of newly built, BFR homes are being developed exclusively for renters. The Urban Institute states that the growth in rental households will exceed that of homeowners by 4 million from 2010 to 2030, concluding that the nation is currently not prepared for this increase. According to John Burns Real Estate Consulting, the BFR housing alternative continues to surge as concerns surrounding home sales grow during the COVID-19 pandemic.
“Florida ranks high among many of the top performing U.S. new construction BFR markets, with cities including Tampa, Fort Myers, Jacksonville, Orlando and Panama City,” said Jeff Cline, executive director of SVN | SFRhub Advisors. He added, “Population, household income and job growth are fueling the top two-dozen BFR markets that extend from Florida across the Sunbelt to the West Coast and select Mountain and Midwest markets. Mangrove Estates is one of many BFR communities we are seeing under development within the Sunshine State.”
Neal Communities joins many U.S. builders implementing strategic growth initiatives by targeting standalone BFR communities. The growing popularity in BFR is due to the increasing rental trend among millennials, who desire living in single-family detached homes, and baby boomers, who elect to living a lock-and-leave, maintenance free lifestyle. BFR new home construction significantly reduces maintenance and repairs and allows builders to include upscale amenities like smart home technology, private backyards, interior upgrades, and community pools, among others.
“Southwest Florida, led by Fort Myers, has witnessed explosive residential growth in recent years for both the for sale and for rent markets,” said Ashley Bloom, managing director of SVN | Lotus Commercial Real Estate Advisors. “With an influx of retirees and families, the market has developed into one that provides both lifestyle and jobs for its residents,” he said.
Neal Communities has been building and developing in the single-family residential space for over 50 years. Marketing, maintenance, management and ownership of Mangrove Estates will be handled by a third-party company.
Cline stated, “Renting today is not by necessity as it was in previous decades. Renting now is a rising choice.”
About SVN | SFRhub Advisors
SVN | SFRhub Advisors, based in Phoenix, is an independently owned and operated SVN® office. SVN | Florida Commercial Real Estate Advisors is the local BOR. SVN has over 1,600 advisors across 200+ offices internationally. SVN | SFRhub Advisors is the only national single-family residential (SFR) & Build-for-Rent (BFR) dedicated brokerage that introduced the first-to-market, fully transactional digital commercial real estate platform, SFRhub.com, and currently features a pipeline of over $2 billion SFR/BFR investment portfolios consisting of five or more homes. SFRhub.com is the only SFR/BFR industry data provider with clean and verified data.