Orlando Multifamily Wrap-Up – June 2020

The Residences at Veranda Park. Image courtesy of Berkadia

After the state promoted efforts to reopen parts of Florida’s economy in early June, a resulting spike in new COVID-19 cases has highlighted uncertainty particularly in the Orlando metro, even as some of the city’s major theme parks reopened. Multifamily investment continued to slow due to heightened uncertainty, both in terms of the pandemic and public authorities’ responses to it. Florida’s statewide eviction moratorium, which had been set to expire July 1, was subsequently extended through the beginning of August. As Orlando continues to grapple with the unprecedented impacts of the coronavirus, property investors are taking the safe road, refinancing existing debt when possible to weather the storm. Read our June list of Orlando must-knows: 

1. DEAL – Westside Capital Group pays $45 million for Metro West asset.

Armco Communities sold the 150-unit Residences at Veranda Park, located at 2121 S. Hiawassee Road in Orlando, eight years after acquiring the property for $13 million from Wachovia Bank, Yardi Matrix shows. Berkadia financed the new acquisition, providing a $31.5 million loan through Freddie Mac. Built in 2008, the four-story building has one- to three-bedroom apartments and a wide range of amenities including two fitness centers, EV charging stations and a multi-level parking structure.

2. FINANCING – Beachwold lands $32 million suburban refi.

JLL Capital Markets arranged the 10-year, floating-rate Freddie Mac mortgage for Lake House, a 240-unit community at 200 Village Blvd. in the southwestern suburb of Davenport. The new financing paid down a $26.8 million acquisition loan from NXT Capital, taken when Beachwold Residential purchased the asset from Trilogy Investments for $31.5 million in late 2017, according to Yardi Matrix.

3. FINANCING – Goldenrod community gets $39 million loan.

Berkadia provided the 10-year Freddie Mac mortgage to JRK Property Holdings, the owner of the 346-unit Lakeside Villas, according to Yardi Matrix. The loan retired $22.3 million in financing from mid-2018. The garden-style Class B community, located at 7950 Shoals Drive, opened in 1973 and offers amenities including two swimming pools, basketball and tennis courts and a fitness center.

4. PEOPLE – JLL names two managing directors.

Jay Ballard and Ken Delvillar come from Cushman & Wakefield and, in their new roles with JLL’s investment and advisory group, will focus on multifamily transactions in Orlando. The managing directors have some 55 years of combined industry experience, and their track record encompasses more than $6.5 billion in sales.

5. FINANCING – Melbourne asset scores $31 million Freddie Mac mortgage.

CBRE Capital Markets provided Northland Investment Corp., the owner of the 232-unit Lakeside at Greenboro, with the 12-year refinancing package. The loan paid down a $13.3 million CMBS loan taken when the property last changed hands in mid-2014, according to Yardi Matrix. The property’s 29 two-story buildings, located at 7670 Greenboro Drive, opened in 1986.