CGI Strategies Acquires Orlando Community for $43M
The company will renovate and rebrand the 306-unit property, which was ordered vacated in 2017 after construction defects were discovered.
Sola at Celebration
CGI Strategies has acquired a vacant 306-unit luxury community in Celebration, Fla., for $43 million from Southstar Capital Group.
Sola at Celebration was developed by Hines in 2015 and acquired by Southstar at the end of 2016. Shortly after the deal, construction defects were discovered and the city ordered the building vacated. CGI plans to correct the construction issues and stabilize the property.
“I’m sure there were many who looked at Sola and were turned away by the size and scope of the corrections that needed to be made,” said Gidi Cohen, CGI Strategies co-founder & CEO, in prepared remarks. “Having successfully dealt with projects like this in the past, at our cost basis we were confident in our ability to remedy the problems and return a true Class A resort style project to a market that exhibits exceptionally strong multifamily fundamentals.”
NEW BEGINNINGS
CGI has received approval from the county for repairs they plan to make to the property and will immediately begin correcting the defects. The company is anticipating the community will be up and running again by the end of the year.
The property will be rebranded as Astoria at Celebration and feature a mix of one-, two- and three-bedroom units located in six four-story residential buildings. Amenities at the community will include a centralized clubhouse and swimming pool, an internet cafe, fitness center, outdoor summer kitchens and a dog park.
Acquisition financing for the property was arranged by Dekel Capital, led by Principal Shlomi Ronen. Shelton Granade Jr. and Luke Wickham of CBRE represented the seller in the transaction.
Earlier this year, CGI Strategies acquired a 78-unit Los Angeles-area community for $20 million, with plans to upgrade the property.
Image courtesy of CGI Strategies
