By Sean Ryan  –  Reporter, Milwaukee Business Journal Link to Full Article
Feb 11, 2022, 10:30am EST
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The first of 300 apartments in the $63 million Hub13 development in Oak Creek are opening to residents this month, and the full project is already at 17% lease-up. See the construction in progress and some of the completed apartments in the attached slideshow.

Apartments are filling up quicker than expected for Jason Macklin, director of development for Wingspan Development Group. It’s also in keeping with faster lease-ups being seen for other new apartment developments in southern Milwaukee County, he said. Rents are favorable compared with downtown Milwaukee and the city’s near western suburbs, and there’s a lot of new jobs being created, he said.

“There are significant employers adding jobs throughout Kenosha and Racine counties, and we are a very attractive option for people working in those markets,” Macklin said.

Hub13 is between 13th Street and Interstate 94 north of Drexel Avenue. The development represents nine apartment buildings and a clubhouse. The clubhouse was completed in December, Macklin said, and a first building with 20 townhouse-style apartments with individual entrances opened to residents Feb. 5.

Another 20 apartments open in a building at the end of this month. Completion of all 300 apartments is expected by the fourth quarter of this year, Macklin said.

“We’ll be delivering about one building per month until the entire project is finished,” he said.

Wingspan is developing the Oak Creek apartments with Batson-Cook Development Co. of Atlanta. Wingspan has offices in Mount Prospect, Illinois, and Milwaukee.

Monthly rents in Oak Creek start at around $1,200 for a studio apartment and go up to $2,900 for three-bedroom units, Macklin said.

Wingspan affiliate company Nicholas & Associates is the lead contractor on Hub13. JLA Architects with offices in Milwaukee and Madison is the project architect. Financing for Hub13 was provided by First Merchants Bank.

Wingspan is separately developing 231 apartments in the Ruby at Brookfield Square project near the Waukesha County mall on North Moorland Road. Pre-leasing for the Brookfield project begins in late 2022, and the first move-ins will happen in the early second quarter of 2023, Macklin said.

​This marks the first of nine buildings at the property in Oak Creek.

Hub13. Image courtesy of Wingspan Development Group
Wingspan Development Group and Batson-Cook Development have begun preleasing apartments at their nine-building Hub13 garden-style property in Oak Creek, Wis. Residents began moving into the first completed building in early February.

The 300-unit Hub13, located at 1310 W. Nicholas Drive, features studio, one-, two- and three-bedroom apartments, ranging from 582 square feet to 1,341 square feet. Unit amenities include keyless entry, high-end finishes, modern plank flooring and carpet, quartz countertops, ceramic tile backsplash, stainless steel appliances and a washer/dryer, a balcony/patio in select units and a double-sink vanity in select units.
Resident amenities include a 24-hour fitness center with yoga studio; community clubhouse with lounge, pool and fire pit; a swimming pool and sundeck; a Zen Garden; outdoor grilling hubs; horseshoes and bags courts; an off-leash dog park and pet spa; a coworking business center; a wine and beer room; a demonstration kitchen; and access to a nearby nature preserve and wetlands. Hub13 residents also have access to indoor parking.

The Hub13 site was ideal for Wingspan and Batson-Cook as the property’s position between Milwaukee and Kenosha and Racine counties would draw people from a very diverse rental pool geographically.

Centralized Location
“Hub13’s centralized location allows us to serve a number of different renters, from people who work downtown to people who work in the Oak Creek area. The property is 15 minutes from a majority of the jobs in the region. We were also very cognizant about needing to be close to daily needs shopping for residents,” Jason Macklin, director of development for Wingspan, told Multi-Housing News.

The property is approximately a 15-minute drive from downtown Milwaukee and commercial and manufacturing centers in Kenosha and Racine counties. It is just 1 mile from Drexel Town Square, a mixed-use retail, commercial, residential and civic district in downtown Oak Creek. Wingspan noted that Hub13 is a part of a building boom along the new I-94 interchange at Drexel Avenue in Oak Creek that included an Ikea, the Highgate sports complex and a hotel and conference center.

Wingspan and Batson-Cook broke ground on Hub13 in the spring of 2021 and recently delivered the first of the property’s nine buildings. Macklin noted that the first residents began moving in this past weekend. The partners will open the second building at the end of the month and then deliver the remaining seven at a rate of about one per month until the development is completed.

First Merchants Bank provided financing for Hub13. The project was designed by JLA Architects, with Ayres Associates serving as the civil engineer and Nicholas & Associates as the general contractor.

Wingspan is also developing the 231-unit Ruby at Brookfield Square, located at 355 S. Moorland Road in Brookfield, about 10 miles west of Milwaukee. The company has several more rental and mixed-use projects in various stages of development in the Milwaukee, Chicagoland, Phoenix and Tampa, Fla., markets.

Wingspan Development Group, a national development firm active in multifamily and mixed-use properties, has opened its model and clubhouse at Sixteen30, a new Class-A apartment community of 284 units in Plainfield, Illinois, about 40 miles southwest of Chicago.

Featuring eight garden-style buildings with neo-farmhouse-exteriors surrounding a 7,500-square-foot clubhouse with resort-style pool, Sixteen30 has already surpassed the 30 percent leased milestone in just over three months.

Located at 14750 Wallin Drive, near the intersection of U.S. 30 and Highway 126, Sixteen30 offers a mix of studios, one-, two- and three-bedroom units in a variety of layouts, ranging from 600 to 1,500 square feet and priced from $1,525 to $2,750 per month. Residences feature 9-foot ceilings; vinyl plank flooring in main living areas; work-from-home space; kitchens with stainless appliances, quartz countertops and ceramic tile backsplashes; walk-in closets; in-unit washer/dryer; keyless entry; and high-speed internet. Most units have a patio or balcony.

Serving as the community’s social hub is a clubhouse featuring a great room, coffee bar, fitness center with smart technology and cardio training, yoga studio, bocce court, demonstration kitchen, pet spa and other luxe amenities. There is also a 24-hour package room. Designed by Eleni Interiors, the clubhouse recently received a Platinum Key Award for Community Design/Amenities from the Home Builders Association of Greater Chicago.
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Sixteen30 is located just over a mile from the restaurants, stores and businesses of downtown Plainfield and only 3 miles from Interstate 55. It also is 10 miles from Interstate 80 and about 10 miles from Naperville, which has more than 150 shops, spas and restaurants in a walkable historic downtown.
As with all of Wingspan’s projects, its sister company Nicholas & Associates is performing the construction for Sixteen30. Lincoln Property Company will oversee leasing and property management.

Wingspan Development Group has closed its WDG GP Fund to further expand its multifamily development business. The WDG GP Fund anticipates a 15 percent to 20 percent-plus annual return over five years.
The $11.7 million fund will participate in the equity of three projects, including Niche at North Hyde Park near the University of Tampa; HUB13 in Oak Creek, Wisconsin; and The Ruby at Brookfield Square in Brookfield, Wisconsin. The fund expects to deploy all its capital into these projects during the next 30 to 60 days. Wingspan currently has more than $200 million in multifamily projects under development across several Chicago suburbs, Southeast Wisconsin and Central Florida.
Wingspan Development Group principals also participated in the WDG GP Fund, committing 10 percent of the total raise. About 80 investor members make up the balance of the fund.
Specializing in Class-A multifamily developments, Wingspan has recently completed two Chicago-area projects – Buckingham Place, a 267-unit transit-oriented development in Des Plaines, Illinois, and 20West, a mixed-use TOD mid-rise of 71 units in downtown Mount Prospect, Illinois. Both projects are stabilized.
In addition to Niche at North Hyde Park, HUB13 and The Ruby at Brookfield Square, Wingspan has three other active projects totaling more than 650 units at various stages of development.

As rent prices climb across Tampa Bay, some developers are looking for ways to make the most out of each square foot.

That’s why the company behind NICHE, a new six-story apartment complex in Tampa’s North Hyde Park, will offer 83 “micro” units, using “robotic furniture” to maximize the limited space, Wingspan Development Group said in a statement. The complex will open in 2023.

Tampa was attractive because of the quality of life and continued population growth, Wingspan’s director of development Jason Macklin told the Tampa Bay Times in an interview. The Chicago-based developer wanted to offer more affordable apartment options on the outskirts of the downtown area.

Micro units are considered space less than 400 square feet, Macklin said. To make the most of the limited space, Wingspan is using “space multiplication” systems, like Ori technology.

Think high-tech Murphy beds.
Ori, short for origami, was launched in 2015 and focuses on transforming living spaces backed by research from the Massachusetts Institute of Technology.

The company’s motto is to “live large in a smaller footprint” and has grown to 25 cities. The NICHE complex is Ori’s first project in the Tampa Bay area where the units will be equipped with an expanding wall activated by a touch on a phone screen or by voice through Amazon Alexa. It can convert the living room area of the studio into an office space, bedroom or a walk-in closet.

By: IvyLee Rosario, Multi-Housing News

Whether you’re rebranding an older property or looking to lease up a new development, emphasizing your marketing and property management effort is a successful way to get the most out of your investment.

There are, however, differences between the two. Although you can’t have one without the other, there might be instances where you’d want to invest more in one vs. the other to bump up your chances of achieving the highest NOI. Here are a few points to consider along the way.

“It really comes down to what asset class you’re in to really break even in terms of how much you’re spending,” Joshua Young, vice president of market rate operations for Clinton Management, the property management affiliate of Douglaston Development, told Multi-Housing News. “If there is money spent on marketing and it creates a positive effect on income, there is a delicate balance on how it effects NOI.”

As an operator, you need to have a well-thought-out strategy for maintaining high renewal rates and attracting new residents. Sure, elaborate marketing tactics can bring in new people, but that can’t take precedence over retaining the ones you already have.

It is critical for companies to be revenue-focused and consistently look to identify unique strategies to increase asset value, said Gina Fortune-Harmon, vice president of Property Management for The Habitat Co. But the goal is also to manage costs without sacrificing anything around the resident experience.

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MANAGEMENT MOTIVATION
In order to figure out where to invest your money the most in order to grow your NOI, it’s important to take a look at what asset class you have and what stage your property is in: Is it a new development, a value-add project or a rebranded property? These are examples of communities that will have different strategies and will require a larger focus on either marketing or operations.

If you already have a relatively successful property with a positive retention rate and leasing percentage, then property management is where you might want to invest more of your money and time—and investing in your team is key to ensuring a smooth operation. Hiring a diverse group of individuals with a variety of backgrounds will help cater to the ongoing needs of your current residents and potential ones.

“At the end of the day, your on-site team is closest to the prospect and the resident; they are the face and voice of your property,” Chris Coleman, vice president of development for Wingspan Development Group, told MHN. “A strong property manager can overcome weak marketing, but strong marketing will be wasted with a weak property management team.”

In addition to your staff, engaging residents in your operational efforts will make them feel included and also help boost morale across the community. Allocating some of your budget toward resident programming is a great way to cater to their wants and needs at the property.

“I believe that marketing to our current residents is where the most efficient marketing spend lies,” said Tim Kramer, vice president & director of operations and management services at Draper and Kramer. “It takes quite a bit of effort to get the attention of someone out looking at the entire marketplace,” he noted, “but it’s relatively easy to do right by the folks that are already living at your property.”


UPPING YOUR MARKETING TACTICS
If you are rebranding, taking on a community that needs a lot of work, or are building from the ground up, then shifting your focus to marketing the property will make the most sense.

“We have noticed from experience that our initial investment in creating a brand and a sense of community is money well spent, and we get the best return that way,” Young said.

Specializing in ground-up developments, Young noted that it’s important to build a brand but not to overdo it. “You can spend money creating this illusion but you can’t lose sight of what’s happening on the ground,” he added.

When rebranding or implementing a value-add strategy, marketing can help you identify your target demographic and how to reach those people. It also strengthens your position in the marketplace and helps create content that drives interest to increase occupancy and NOI.  

“Marketing and customer service are in lockstep… marketing adds value by creating the connection between people and the product,” Fortune-Harmon noted.

In order to get the most out of your marketing strategy, look for multifaceted investment opportunities in partnerships or social media that will allow your property to stand out amongst the competition. You can also include current residents in your marketing efforts, by gathering feedback through surveys and allowing them to review the property and share the word.

“This is a much more efficient spend than broadcasting a ‘live here’ message out into the blind, hoping for a response,” Kramer said. “Plus, there’s an added benefit when your residents like living at your community—they become marketers and ambassadors.”


KEY CONSIDERATIONS
Reinforcing certain staples across both your marketing and operations strategies will promote NOI growth no matter what type of community you are working on.

“Effective marketing is the spotlight that shines on your property so the world takes notice and decides to pay rent,” added Coleman.

Marketing is critical for getting the word out about what your new community has to offer to prospective renters and the neighborhood as a whole. But property management is vital for keeping your asset running from the ground up, with a focus on retaining current residents. The key factor in the marketing vs. operations showdown comes down to spend efficiency.

It’s important that your staff understands the cost of marketing compared to resident turnover, how many new leads are generated, and the possibility of new leases signed. Both the marketing and operations teams need to apprehend and track all of these pieces in order to yield results on your NOI.

If you feel you aren’t getting your money’s worth, it’s okay to switch directions and experiment with new strategies. But keep in mind that spending more doesn’t necessarily mean you’ll achieve more—so start small and cater to one idea at a time to see what works best for your community and operational goals.
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“You can’t overpromise and underdeliver. You need to balance and back up what you’re putting out there,” Young said. “The consumer is very educated, the market is transparent and people can’t be pushed into making decisions. It’s important to be smart about your messaging and how it’s delivered.”

By: Jackson Chen - Multi-Housing News

Wingspan Development Group and Batson-Cook Development Co. have started construction on its 300-unit community south of downtown Milwaukee.

The joint venture expects to deliver the first units of its community, Hub13, by the end of 2021 and to complete the project in fall 2022.

The garden-style community will have its units spread across nine two- and three-story buildings that offer studio, one-, two- and three-bedroom floorplans ranging in size from 582 to 1,380 square feet. Hub13’s amenities will include a fitness center, yoga studio, clubhouse, pool, dog park and coworking offices. Residents will also be able to access their units and the amenities through their mobile phones with the community’s technology and safety system.

Located on a 34-acre site at 7581 S. 13th St., Hub13 is a mile away from downtown Oak Creek and its retail and restaurants and approximately 9 miles away from downtown Milwaukee. The community also borders a 11.2-acre nature preserve with wetlands.

The community was designed by JLA Architects and is being built by Nicholas & Associates. Ayres Associates also serves as the project’s civil engineer while First Merchants Bank provided financing for the community. Wingspan previously worked with another joint venture partner to develop a 284-unit community in Plainfield, Ill.

MILWAUKEE’S RESILIENCE 
Jason Macklin, director of development at Wingspan, said in prepared remarks that the southeast Wisconsin submarket that Hub13 is located in has experienced extraordinary job growth over the past few years.

According to a 2020 year end Colliers report, the greater Milwaukee multifamily market displayed strong resilience throughout the COVID-19 pandemic and is expected to see further expansion due to its strong market fundamentals.

​The report showed that the Milwaukee market saw asking rents grow to $1,161 in the fourth quarter of 2020, a nearly 18.3 percent year-over-year increase. The market’s occupancy rate also saw a slight increase to 94.8 percent, while unit inventory is continuing to grow, hitting 85,739 units in the fourth quarter of 2020.

By: Kristin Hiller - Heartland Real Estate Business

Wingspan Development Group and Batson-Cook Development Co. have started construction on its 300-unit community south of downtown Milwaukee.
The joint venture expects to deliver the first units of its community, Hub13, by the end of 2021 and to complete the project in fall 2022.
The garden-style community will have its units spread across nine two- and three-story buildings that offer studio, one-, two- and three-bedroom floorplans ranging in size from 582 to 1,380 square feet. Hub13’s amenities will include a fitness center, yoga studio, clubhouse, pool, dog park and coworking offices. Residents will also be able to access their units and the amenities through their mobile phones with the community’s technology and safety system.
Located on a 34-acre site at 7581 S. 13th St., Hub13 is a mile away from downtown Oak Creek and its retail and restaurants and approximately 9 miles away from downtown Milwaukee. The community also borders a 11.2-acre nature preserve with wetlands.
The community was designed by JLA Architects and is being built by Nicholas & Associates. Ayres Associates also serves as the project’s civil engineer while First Merchants Bank provided financing for the community. Wingspan previously worked with another joint venture partner to develop a 284-unit community in Plainfield, Ill.
MILWAUKEE’S RESILIENCE Jason Macklin, director of development at Wingspan, said in prepared remarks that the southeast Wisconsin submarket that Hub13 is located in has experienced extraordinary job growth over the past few years.
According to a 2020 year end Colliers report, the greater Milwaukee multifamily market displayed strong resilience throughout the COVID-19 pandemic and is expected to see further expansion due to its strong market fundamentals.
The report showed that the Milwaukee market saw asking rents grow to $1,161 in the fourth quarter of 2020, a nearly 18.3 percent year-over-year increase. The market’s occupancy rate also saw a slight increase to 94.8 percent, while unit inventory is continuing to grow, hitting 85,739 units in the fourth quarter of 2020.