DEAL OF THE DAY: Marcus & Millichap Arranges Sale of Student Property Portfolio for Over $148 Million
- Jan 17, 2008
Encino, Calif. — Marcus & Millichap Real Estate Investment Services, a brokerage firm headquartered in Encino, Calif., recently negotiated the sale of four Class A student housing assets, containing a total of 1,212 units, for $148.5 million.The property portfolio consists of the 504-unit Cabana Beach development (pictured) in Gainesville, Fla.; the 276-unit Cabana Beach in San Marcos, Texas; the 192-unit Campus Lodge in Columbia, Mo. and the 240-unit Lodge of Athens in Athens, Ga.The average price for the portfolio was $122,525 per unit, or $114.59 per square foot.Peter Katz, a vice president of investments in the Phoenix Marcus & Millichap office, and Dorothy Jackman, a senior associate in the firm’s Tampa office, represented both the seller, FortGroup Development Corp. of St. Augustine, Fla., and the buyer, Excelsior LaSalle Property Fund, a fund advised by LaSalle Investment Management.All four properties are being operated on a bed-basis rental program, with individual leases for each bedroom, according to Katz. The majority are two-, three- and four-bedroom units, each with their own bathroom and separate keyed entries.The multifamily communities were completed between 2001 and 2007. Each features large units that are more than 1,300 square feet.