Berkadia has arranged a $38.8 million loan for the acquisition of Deerwood Village, a 328-unit garden-style community located in Ocala, Fla. Charles Foschini, senior managing director, Christopher Apone, managing director, and Lourdes Carranza-Alvarez, senior analyst, from the company’s South Florida office arranged the loan on behalf of the buyer, Boston-based West Shore.
According to Yardi Matrix data, Cortland Partners sold the partially renovated property for $49.8 million. Freddie Mac provided the 10-year, fixed-rate loan with an extended interest-only period and an 80 percent loan-to-value ratio. The asset had a 93.9 percent occupancy rate at the time of the transaction.
Located at 1850 SE 18th Ave., Deerwood Village is within 3 miles of downtown Ocala and within 10 miles of employers such as Lockheed Martin, Ocala Health System and Munroe Regional Medical Center. Retail, dining and entertainment venues are also close by, as Paddock Mall is within a 15-minute drive of the property.
Recent capital improvements
Completed in 2006, the asset occupies 37 acres and is composed of 40 two-story buildings, a clubhouse and maintenance building. The one-, two- and three-bedroom units average 1,015 square feet. The previous owner spent over $5 million on capital improvements since 2015, including updating approximately half of all the unit interiors, renovating the clubhouse and expanding the fitness center. Other amenities include a swimming pool, playground and a business center.
“Deerwood ranks among the nicest assets in Ocala. Freddie Mac realized that as well, and working together we were able to carve out terms for the buyer that granted many credit exceptions and allowed for a loan that gave Westshore a financing edge in both leverage and rate when competing for the asset,” Foschini said, in a prepared statement.
Image courtesy of Yardi Matrix
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