McKinley Acquires Two Orlando Communities in 30 Days
- Dec 04, 2013
Orlando, Fla.—Multifamily owner and manager McKinley has reconfirmed its commitment to Central Florida, and specifically to Orlando’s theme park area, with the purchase of two Orlando properties within a scant 30 days. McKinley acquired the 352-unit Bella Vita after purchasing its sister property, Villa Capri, a 248-unit property next door. The buildings were constructed as a 600-unit, two-phase multifamily development in the late 1990s and early 2000s.
Bella Vita offers one-, two-, three- and four-bedroom apartment homes, as well as an extensive array of amenities that include a sprawling clubhouse, fitness center and several pools areas.
“It’s an absolutely gorgeous campus setting with ponds, islands and fountains,” Albert M. Berriz, chief executive officer of Ann Arbor-based McKinley, tells MHN.
Location was the primary factor in attracting McKinley to the two properties, he adds. “We have extensive holdings in the theme park area, between Disney World, SeaWorld and Universal Studios Orlando,” Berriz reports. “Immediately adjacent to these properties, we own seven other properties in the submarket.”
The company owns approximately 5,000 units in Central Florida, the majority of them in the theme park area. It has been investing in the region since 1982.
Another factor luring McKinley to the deal was the proximity of Bella Vita and Villa Capri to the ultra-luxurious indoor Mall at Millennia, which features such world-renowned retailers as Apple, Neiman Marcus, Chanel, Yves Saint Laurent, Macy’s, Bloomingdales and lululemon athletica.
“We understand Orlando,” Berriz says. “We are committed to serving the needs of our residents with a superior product delivery, 450 exceptional team members in the market, and our seasoned Orlando-based leadership team in position. We are fortunate to have such a market dominate position in what is the economic engine in today’s Central Florida tourist commercial industry with neighbors like The Walt Disney Company, Universal Studios Orlando and the Orange County Convention Center.”
Comerica Commercial Real Estate is providing the acquisition financing for the transaction. Berkadia Commercial Mortgage is providing HUD long-term financing. “Comercia and Berkadia work side by side with us as great partners, enhancing our reputation and solid transactional track record for certainty of execution at record speed,” Berriz reports. “Both of these recent acquisitions were closed in under 15 days from contract to funding.”
McKinley expects to make major capital improvements in both properties. Interior and exterior renovations are expected complete in 24 months.
“We expect the service delivery to the residents to be really enhanced as a result of these improvements,” Berriz says. “We’re very excited by the addition of these properties to our portfolio. They will make excellent long-term investments for McKinley. We’re very committed to Central Florida, and these investments are representative of that commitment.”