FOR IMMEDIATE RELEASE

Pine Grove Communities and Gallery Residential Announce Strategic Partnership to Acquire Value-Add Multifamily Assets Across the Southeast

Atlanta, GA – [September 9, 2025] — Pine Grove Communities (“Pine Grove”) and Gallery Residential (“Gallery”) are proud to announce the formation of a strategic partnership aimed at acquiring, repositioning, and operating value-add multifamily communities throughout key Southeastern markets. The partnership unites two experienced, cycle-tested teams into a vertically integrated platform with a proprietary approach to unlocking value in differentiated residential assets.

The partnership has teamed up on its first community and successfully raised capital to fuel future transactions, targeting $500 million in total investments in the near term.

"This strategic partnership brings together two platforms with complementary skill sets and shared values," said William Stark and Scott Denbow, Co-Founders of Pine Grove Communities. "By combining Pine Grove’s development and investment expertise with Gallery’s best-in-class property management capabilities and talent, we’re uniquely positioned to drive operational excellence and create thriving communities."

The venture launches at a pivotal time for residential investment. Apartment starts are at multi-decade lows, with construction activity down nearly 50% from the 2021 peak — setting the stage for meaningful supply shortages by 2026. The Southeast continues to lead the nation in job growth, population gains, and household formation, fueling sustained rental demand. At the same time, the shortage of attainable housing is expected to intensify, as elevated replacement costs persist — driven by the limited availability of suitable land, difficult entitlement processes, ongoing labor shortages, and potential changes in tariff and immigration policies — to limit cost-competitive new supply. Against this backdrop, capital market dislocation and a wave of upcoming debt maturities are creating rare opportunities to acquire unique assets below replacement cost.

Pine Grove and Gallery are targeting properties in affluent submarkets that offer irreplaceable physical, lifestyle, and demographic attributes — communities where strategic enhancements and uncommon hospitality  will drive outsized value. These properties will be thoughtfully repositioned to benefit from proximity to strong surrounding retail, educational, natural, and cultural amenities, ensuring long-term desirability. The venture is actively pursuing opportunities in high-growth markets such as Atlanta, Nashville, Charlotte, and Raleigh, supported by a robust pipeline of actionable deals.

“At Gallery, we believe in the art of living, and that belief shows up in everything we do,” said Tracy Bowers, Managing Partner of Gallery Residential. “This strategic partnership gives us the opportunity to expand our mission of bringing a people-first approach, deep investment in talent, technology and creative placemaking to communities with untapped potential. Our resident focused approach is more than just operational excellence, it’s building environments that elevate everyday experiences, foster connection, and make our residents feel truly at home.”

Introducing Two Distinguished Yet Under-the-Radar Firms

While both firms have operated quietly behind the scenes, they have grown rapidly.  Pine Grove has emerged as one of the most respected build-to-rent developers in the Southeast, delivering over 1,200 homes and lots in 4 years.  Gallery has similarly established and grown its fee managed  platform to approximately 20,000 residences across the Sunbelt over the past 3 years.

The partnership's initial property, Bass Lofts in Atlanta's Little Five Points, exemplifies its strategy: a high-barrier, lifestyle-oriented community with unique architectural character, a 7-acre hilltop site, and significant value-add potential through operational and physical improvements.