CBRE Brokers $28M Sale of Jacksonville Community

Resource Real Estate acquired the asset which boasts numerous community amenities including a resort-style swimming pool and sundeck, a clubhouse and tennis court.

CBRE arranged the sale of Bay Club Apartments, a 220-unit multifamily property in the Deerwood/Southside area of Jacksonville, Fla. MREI III Bay Club LLC, an affiliate of The Milestone Group, sold the complex in a $28.3 million deal. According to public records, Resource Apartment OP III, an entity connected to Resource Real Estate, acquired the asset.

CBRE Capital Markets provided $21.5 million in acquisition financing to facilitate the deal. The mortgage is scheduled to mature in August 2024, public records show. Located at 9009 Western Lake Drive, the community features a resort-style pool area with sundeck, a clubhouse, 24-hour strength and cardio center, picnic area with barbecue grills, playground and tennis court. Each unit includes a private garage as well as its own private patio or balcony.

Value-add opportunity

CBRE’s team of Vice Chairman Shelton Granade, Senior Vice Presidents Luke Wickham and Cliff Taylor, Vice President Joe Ayers and Sales Assistant Justin Basquill worked on behalf of the seller in the transaction. Bay Area was 96 percent occupied at the time of the sale.

“Bay Club was a highly sought-after investment due in large part to the property’s upside potential and its location within Jacksonville,” said Granade, in prepared remarks. “It was a very competitive bidding process, which speaks to the very high demand for value-add opportunities and to the rising appeal of the Jacksonville market.”

Completed in 1990, the community last changed hands in 2012 when The Milestone Group purchased it from Sentinel Real Estate in a $18.9 million deal, according to Yardi Matrix.

Images courtesy of The Milestone Group