J
.P. Morgan Real Estate Income Trust, Inc. (JPMREIT) has made a strategic move to bolster its portfolio with the acquisition of two residential assets: The Preserve at Pine Valley in Wilmington, NC and Bass Lofts in Atlanta, GA. This calculated expansion into high-growth markets underscores JPMREIT's commitment to investing in quality, attainable housing.

    The Preserve at Pine Valley, a 219-unit Class-B community, was acquired through a joint venture with Ginkgo Residential, leveraging the strengths of both partners. Strategically situated near Downtown Wilmington and major healthcare facilities, this property is poised to capitalize on Wilmington's remarkable economic growth, which has seen a 70% population increase since 2000. The $32.1 million purchase price reflects JPMREIT's confidence in the market.

    Bass Lofts, an adaptive reuse Class-A multifamily property, boasts a prime location in Atlanta's Little Five Points neighborhood. Originally a school built in 1923, this unique asset is currently 96% leased, demonstrating strong demand for quality housing in the area. The $34.8 million purchase price highlights JPMREIT's focus on high-growth markets.

    J.P. Morgan Asset Management has identified the residential sector as a key investing theme, driven by the resilience of and strong demand for housing. As new supply peaks and rents firm up, these acquisitions are well-positioned to benefit from a recovery in rental rates across their submarkets.

    "We're confident in the residential sector's growth and resilience," said Chad Tredway, CEO and Chairperson of JPMREIT. "As homeownership becomes increasingly costly, we see sustained demand for rental properties."

    Doug Schwartz, Co-President of JPMREIT, added, "The Sunbelt region is experiencing declining supply amidst continued population and wage growth, making it a focal point for our investment strategy."