JV Acquires New Fort Myers Property for $71M
- Mar 07, 2018
Coastal Ridge Real Estate Partners and partner H. Katz Capital have acquired Spectra, a new Class A multifamily community in Fort Myers, Fla. The purchase price for the 324-unit property on 32.5 acres, which the joint venture bought from Stock Development, was $71 million.
Coastal Ridge and H. Katz Capital currently jointly own and operate $867 million of student housing and multifamily communities across the United States. The acquisition of Spectra came within a few days of the joint venture’s acquisition of the 360-unit, 1,115-bed student housing community Campus Lodge in Gainesville, Fla.
“Candidly, it was a fairly smooth transaction process,” Patrick McBride, Coastal Ridge Real Estate managing partner, told MHN.
“It was Coastal Ridge’s 20th acquisition with our JV equity partner H. Katz Capital. We used debt from Freddie Mac, also a programmatic relationship. So from a capitalization standpoint it was smooth sailing. The quality of the asset was outstanding, so [there were] no material due diligence concerns. If I had to point to something, I’d suggest it was the competitive bidding environment in which we competed to gain control of the asset with a number or large, reputable buyers also pursuing Spectra. Fortunately we have a very strong relationship with the brokering team at Cushman & Wakefield who [was] able to vouch for us as a strong buyer and held us to be awarded the transaction.”
Constructed last year, Spectra features 108 one-bedroom, one-bath units, 180 two-bedroom, two-bath residences and 36 three-bedroom, two-bath apartment homes. Monthly rents extend from $1,397 to $1,942 across the spectrum of apartments.
The residences offer a variety of features and finishes, including 9-foot, 4-inch-ceilings, wood-style flooring, stainless steel appliances, granite countertops, walk-in closets, kitchen islands, storage on the balconies, washer-dryers and ceiling fans.
Six acres of green
Spectra’s common-area amenities include a 6,000-square-foot clubhouse with coffee bar, computer lounge, fitness center with weights, cardio and fitness on demand. An outdoor covered patio offers a pool table, ping-pong, TVs and varied seating options.
The resort-style pool deck offers a large sundeck and private cabanas. A gated entrance, dog park, tennis court, tot lot and adjacent six-acre park with nature trails round out the remaining amenities.
Representing the seller were Robert Given, Zachary Sackley, Brad Capas, and Luis Elorza of Cushman & Wakefield. Walker & Dunlop’s Mark Grace and Will Baker represented the buyer with their acquisition debt execution, securing a loan from Freddie Mac.
“Spectra provided a tremendous opportunity to acquire the premier multifamily community in Southwest Florida,” McBride concluded. “The property is located just minutes from the region’s leading employers as well as a major medical hub and abundant retail.”