Cortland Partners Expands Jacksonville Presence with 391-Unit Acquisition
- Dec 27, 2012
Jacksonville, Fla.—Cortland Partners has acquired Avistele at Deerwood, a 391-home, 42-acre community located in the most affluent neighborhood of Jacksonville, Fla.
“Avistele at Deerwood offers a great location with strong demand that can support higher rents,” Scott Moore, Cortland Partners’ investment manager, tells MHN. “Our investment plan will align the character of the community with the high profile location and attract the quality resident profile seeking to live in the Deerwood area.”
Located at 9803 Creekfront Road, Avistele is Cortland’s third community in Jacksonville and it will invest more than $6 million to improve the apartment community.
“It has good bones and site plan but the exterior and interiors were very tired, and we felt we could bring expertise and economies of scale from an operating perspective,” Moore says. “Our investment and underwriting of two previous acquisitions in Jacksonville gave us confidence in the fundamentals and we believe we are a bit a head of the curve from a capital perspective.”
This type of acquisition and renovation play is squarely within Cortlan’s strategy and tactical execution plan as it has acquired over 30 properties during the past 2.5 years that involved renovation of under utilized assets.
The community will receive significant landscape and hardscape improvements, sidewalk improvements and additions, a new swimming pool, enhancements to the fitness center, and a complete renovation and expansion of the leasing center.
The property has a diverse mix of one-, two- and three-bedroom flats and loft-style units. Approximately half of the unit interiors were renovated to Class A finish quality by the previous owner.
“Cortland plans to renovate the remaining units with all new kitchens, including: new cabinets, granite counters, appliances and lighting,” Moore says. “In addition, upgrades are planned for the bathrooms and flooring in the units. Cortland also plans to paint all of the building exteriors, replace 100 percent of the roofs and replace siding on half the property.”
The community is situated in the neighborhood of St. John’s Town Center, a lifestyle center containing more than 4.5 million square feet of retail and restaurant space and Deerwood Office Park, a major employment hub on the south side of Jacksonville, with more than 5 million square feet of office space.
“The proximity to entertainment venues along with employment and retail centers provides convenience and an attraction to this area of Jacksonville encompassing a live, work, play environment people seek,” Moore says. “We want to be where people want to be. Avistele at Deerwood is. We are focused on economies of scale and this community enhances our current position in the Jacksonville market.”