News
Long-stalled master planned development Veridea is back on track after a $91 million sale to RXR Realty
Apex, N.C. (March 8, 2023) – With capital markets all but slowed to a halt, the sale of the 1,000+-acre master-planned development Veridea to RXR Realty is even more noteworthy. Foundry Commercial’s Jim Allaire and Karl Hudson, IV, both based in the firm’s Raleigh office, brokered the land sale between seller Hudson Realty Capital and buyer RXR out of New York.
RXR purchased the land for $91 million, and it will mark the real estate owner and developer’s first foray into North Carolina. Veridea, a master-planned development originally announced in 2009, had stalled after Hudson Realty Capital hit a roadblock with a town ordinance. The entire development comprises roughly 1,100 acres at the cross-section of N.C. 55 and U.S. 1 in Apex.
Engaged by Hudson Realty Capital in 2015, Allaire and Hudson have helped the seller navigate a number of challenges during the past 8 years, including a lack of sewer capacity and sewer agreement with the Town of Apex as well as the increasing costs associated with future onsite and offsite roadway infrastructure.
“Selling a tract of land of this magnitude is – in and of itself – a huge undertaking, and we were proud to work alongside Hudson Realty Capital to see this over the finish line,” said Karl Hudson IV, CCIM, Partner, Land Services at Foundry Commercial. “It was clear from the start that the right buyer would recognize the incredible potential in a generational investment opportunity like this, located in one of the most dynamic and sought-after markets in the country.”
According to a Crain’s New York Business article, “[RXR] is partnering with homebuilder Lennar Corp. to build 1,100 single-family homes and townhouses in the first phase of the project. RXR will also develop more than 1,000 rental apartments and more than 1,000,000 square feet of space dedicated to life-sciences research, logistics, and education.”
As part of the master development, RXR announced a partnership with Wake Technical Community College, in which the two will develop a 340,000-square-foot campus in the first phase of development. As reported in the Triangle Business Journal, “The new Wake Tech campus will be on 34 acres and able to accommodate up to 3,000 students daily. It will include space for a new Workforce Development Center that will provide a training gateway for the high-tech jobs that are exploding in the area.”
The master planned Veridea will also eventually be home to 350,000 square feet of office and industrial space as well as 120,000 square feet dedicated to retail. RXR announced the intention to break ground on the multifamily units in early 2024, with a goal of moving the first Veridea residents into the first phase in late 2025.
For more information about Foundry Commercial’s Land Advisory Services, visit Foundry’s Land Advisory Services webpage.