Expanding in Florida
- May 26, 2015
Sarasota, Fla.—Preferred Apartment Communities Inc. (PAC) has finalized its acquisition of the Venue at Lakewood Ranch in Sarasota, Fla. The company paid about $47.4 million for the 237-unit multifamily property, which was completed last year by the Atlanta-based Davis Development Group.
Common amenities include a saltwater pool with Wi-Fi sundeck, car center and a 24-hour athletic club with yoga and spin room, cardio theater and free weights. A “resident retreat” includes a pool table and gaming stations, and the property has a business center as well. Rents at the gated development range from about $1,000 to $3,000 a month.
According to the company president and COO Leonard A. Silverstein, the deal represents an expansion into Florida, between Tampa and Naples. Atlanta-based PAC already owns Crosstown Walk in Tampa and Aster at Lely Resort, a property in the Naples area.
PAC has likewise been an aggressive investor in other major markets recently. At the beginning of 2015, for example, it bought the 280-unit Avenues at Northpointe and the 240-unit Avenues at Cypress, for a combined $76 million. Both are in “growing submarkets” in Houston, noted Silverstein. Altogether, PAC bought 14 properties in 2014.
The company acquired the Sarasota property using a first mortgage loan from KeyBank National Association, which it intends to assign the loan to Freddie Mac within 60 days. The first mortgage loan is about $30.8 million, with a fixed rate of 3.55 percent based on a 30-year schedule.