Bluerock Gets Ready for Celebration1 Jul 2015, 5:39 pm
Bluerock Residential Growth REIT Inc. is setting its sights on its latest Orlando submarket. The New York City-based REIT announced June 30 that it intends to buy Century Palms at World Gateway, a 252-unit, Class A property in Orlando’s Celebration neighborhood.
BRG plans to purchase Century Palms for $37 million or $146,825 per unit. The off-market deal will mark the company’s fourth investment in Orlando, following Arium Grandewood, Enders Place at Baldwin Park and EOS, part of the Town Park master-planned development near the University of Central Florida. The Century Palms acquisition was sourced off market by the Carroll Organization, Bluerock’s operating partner and co-investor in three of the four Orlando properties.
BRG will invest 95 percent of the venture’s equity requirement, or $13.5 million, under a cost-sharing agreement with Carroll. The buyer plans to further capitalize the property with a loan of about $25 million.
Built in 2007, Century Palms is close to Disney World’s main entrance and features one-, two- and three-bedroom unit floor plans averaging 1,074 square feet. It is near top public schools, multiple Class A office parks, Celebration Health hospital, sports and recreation complexes, a public library, community parks, and an 18-hole championship golf course.
Image source: century-apartments.com
Master Plan with Regional Significance to Transform Minneola24 Jun 2015, 5:01 pm
By Balazs Szekely, Associate Editor
The news broke on Monday, that SouthStar Development Partners Inc. and Family Dynamics Land Co. have signed a contract for the sale and purchase of an approximately 1,650-acre property known as The Hills, which is set to become a major regional destination.
Minneola is adjacent to Clermont, about 20 miles northwest of downtown Orlando in Lake County. The site in question is on the northeastern part of the city and is split by Florida’s Turnpike. The property is entitled for 3,971 residential units and 3 million square feet of retail, office and medical uses. According to the project’s brochure, a town center will emerge south from the Turnpike. It will include offices, residences and boutique shopping. The north side will be home to a regional shopping destination and a business research and office park, all surrounded by residential neighborhoods. Plans also call for two public schools, civic uses, trails, walking paths and parks.
The Florida Department of Transportation will begin work this year on the construction of a full, four quadrant interchange on the property that will open in 2017.
Photo credit: SouthStar Development Partners, Inc.
Buyers’ Interest in Airport-Area Assets Gains Altitude19 Jun 2015, 9:44 pm
By Balazs Szekely, Associate Editor
Two distribution centers changed ownership in Airport Industrial Park of Orlando, west of the Orlando International Airport. High Street Realty Co. acquired 10805 Southport Drive and the adjacent Palmbay Center at 10950 Palmbay Drive.
The company was represented in both transactions by Cushman & Wakefield Inc.’s Associate Director Jared Bonshire and Senior Associate David Perez. The sellers were Southport Center @ AIPO L.L.C. and Palmbay Center @ AIPO L.L.C. Financial terms were not disclosed.
Cushman & Wakefield’s market analysts suggest that the deal reflects increased investor interest in the area, along with the slow pace of new construction in key submarkets. Southport Center is a 74,965-square-foot distribution center built in 2007 on a five-acre parcel. Palmbay Center was built in 2003 on a 3.1-acre parcel and offers 53,448 square feet of space.
High Street Realty is a private equity real estate investment management company specializing in institutional-quality industrial properties in major logistics markets across the eastern two-thirds of the United States, according to their website. These include low-finish single and multi-tenant warehouse and distribution properties and portfolios in infill locations. Their current investment criteria lists target markets like South Florida, Baltimore/Washington, D.C., Chicago, Dallas, Houston, Atlanta, northern New Jersey and Philadelphia.
Image source: cushwakeorlando.com
2 High-Performance Assets Attract M-F Buyers19 Jun 2015, 9:18 pm
By Balazs Szekely, Associate Editor
Multi-family assets are clearly a hot commodity in Orlando these days, and word has arrived of two more properties that recently attracted new owners. The stabilized, well-performing communities, Marbella Lakes and Barrington Place Apartments, were 95 percent occupied at time of sale.
In late May, IMT Residential bought Marbella Lakes from Blue Rock Partners for $12.8 million and renamed it The Park at Savino. Located at 1980 Lake Fountain Drive in Orlando, the 200-unit gated community is adjacent to the Mall at Millenia and 10 minutes from the central business district. The Park at Savino was completed in 1985 and offers such amenities as a fitness center, laundry facility, clubhouse and resort-style swimming pool.
Also under new ownership is Barrington Place, a 233-unit rental community located at 2785 Chaddsford Circle in Oviedo, Financial terms and the buyer’s identity were not disclosed in the press release announcing the deal, which closed early this month. However, according to Yardi Matrix, Miami-based Pensam Capital acquired the property for $27.5 million. Equity Residential, the Chicago-based REIT, was the seller.
Barrington Place is located minutes from the Central Florida Research Park, Quadrangle Office Park, the University of Central Florida, Valencia College and Full Sail University. Built in 1998, the community offers a resort-style pool, a clubhouse, a fitness center, a business center, and private garages.
CBRE Group Inc. marketed the properties and represented the sellers in both transactions with a team led by Executive Vice President Shelton Granade, Senior Vice President Luke Wickham, and Assistant Justin Basquill of CBRE Capital Markets. Vice Chairman Robert Given was also involved in the negotiations for the Barrington Place Apartments sale.
Image source: Yardi Matrix
Falcon Square Catches Freddie Mac Loan in Winter Garden19 Jun 2015, 5:48 pm
By Eliza Theiss, Associate Editor
HFF has secured supplemental financing for a 379-unit apartment community located in Orlando’s Lake Buena Vista submarket. Although the loan amount has yet to be disclosed, some details of the transaction have been made public.
The fixed-rate loan spans seven years and was secured through Freddie Mac’s CME Program. HFF will service the loan through its Freddie Mac Program Plus Seller/Servicer program.
Director Cortney Cole and real estate analyst Jordan Finch led the HFF debt placement team that represented the borrower, Venterra Realty.
According to Yardi Matrix data, the property, Falcon Square, is subject to another $32.5 million loan held by Freddie Mac. Due in August 2022, the loan was issued in conjunction with Venterra’s purchase of the property in July 2012. Venterra paid $43 million for Falcon Square, purchasing the Class A community from DeBartolo Development, which purchased the asset for $28 million and owned it for nearly three years.
Located in Winter Garden, Falcon Square comprises a mix of one-, two- and three-bedroom apartments with an average unit size of 1,122 square feet and an average monthly rent of $1,161.
Image credits: Yardi Matrix