By Jon Peterson
Denver-based UDR has started construction on the 220-unit apartment complex in Dublin. The development, called Ashton at Dublin Station, has been in the works since May of 2017. The total budgeted cost for this project is $117 million, according to the property owner’s fourth quarter 2019 earnings report.
UDR currently has a cost to date of the project of $18.3 million, as of the end of 2019. The estimated cost per apartment home for this project is $532,000. The project, located at the northwest corner of DeMarcus Boulevard and Campbell Lane, will rise seven stories in height.
UDR started the development of this project during the fourth quarter of last year. However, while in November of 2017, the Planning Commission unanimously recommended approval of the proposed project, the Council later denied the project proposal in March of 2018. UDR then filed a lawsuit against the City of Dublin, the City Council, Mayor Haubert and several councilmembers claiming the denial was unlawful based on the Housing Accountability Act, the parties’ Development Agreement and the Fair Housing Act. A settlement agreement was reached and the City Council ultimately approved the project in July of 2018.
The public real estate investment trust is planning to finish the project in the second quarter of 2022 and have the initial occupancy for the project being the fourth quarter of next year.
The public REIT is a major owner of apartment communities in the San Francisco Bay Area. Its total number of units in the region is at 2,751, through the end of 2019. The company’s net operating income produced in the region accounts for 11.4 percent of the NOI for the REIT. The properties in the region are currently 96.4 percent occupied.
UDR is known as both a buyer and developer of apartment assets on a national basis. The company can buy assets on its own or can create joint ventures with other institutional investors on its properties.