Dive Brief:

• Last week, El Paso, Texas-based Hunt Cos. acquired a controlling interest in Carter, in a move that should give the Atlanta-based developer runway for future growth in mixed-use and residential development in the Sun Belt, according to a news release.
• Longtime Carter Chairman and CEO Bob Peterson has been bought out, but President and CEO Scott Taylor will remain in his role. The company will continue to operate as a standalone entity. Terms were not disclosed.
• Carter, a 67-year-old company, has over $1 billion of active development throughout the Southeast, including equity mixed-use and multifamily projects. The developer recently launched Story, a collection of new, garden-style apartment communities located in major Southeastern markets.

Dive Insight:

Hunt and Carter have previously partnered on projects such as Prospect Lake Wire, a mixed-use development in Lakeland, Florida, and The DeSOTA, a luxury apartment property in Sarasota, Florida.

“We had the good fortune of being partners with Hunt on two transactions over the course of the last 10 years,” Taylor told Multifamily Dive. “We have a great relationship and shared values. We just really enjoyed working together for some time.”

In the Atlanta area, Carter has over $450 million in mixed-use projects, including Summerhill, an 80-acre redevelopment of the area around the Atlanta Braves’ former ballpark Turner Field, featuring office, retail, restaurants and housing.

Carter had explored various scenarios regarding aligning with a strategic partner over the past few years, according to Taylor. 

“The great opportunity with the Hunt Companies is that their financial resources and operational resources just provide wonderful growth opportunities for our platform,” Taylor said. “We really were looking for growth-type capital.”

With Hunt’s financial support, Carter can expand its platform in mixed-use, residential development and relationship-driven growth initiatives. The partnership aims to grow banking relationships and secure additional investment opportunities in key markets.

“We are looking to extend our platform through a Sun Belt strategy, from the Phoenix market through Texas into the Southeast,” Taylor said. “The Hunt Companies has a national footprint, which really allows us the opportunity to grow thoughtfully.”

Hunt also has a robust public-private partnerships platform, which could help Carter.

“That's where we think there could be some very interesting synergies with Carter's background in mixed use, coupled with the tremendous expertise of Hunt's P3 business,” Taylor said.

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