Development Site Trades Hands in Boca, 378 Units in the Works
- Sep 11, 2014
Boca Raton, Fla.—A 5.78-acre development site at 300 East Palmetto Park Road has traded hands. ARA brokered the sale. The parcel was last acquired by Archstone back in 2012 for about $20.1 million. With AvalonBay and Equity Residential buying out Archstone, the development never happened. This September the land sold for $22.3 million to an undisclosed buyer. The land is currently approved for 378 units, and will likely see a trophy-quality build out.
ARA’s South Florida Land Division Senior Vice President Troy Ballard served as lead advisor for the undisclosed seller in marketing the development site. He was supported by ARA Principals, Avery Klann, Hampton Beebe and Richard Donnellan.
“It is walkable to everything in Downtown Boca Raton,” Ballard says. “Restaurants, retail, entertainment, and even the beach is only a short stroll away.”
“With Boca Raton’s strong demographics and an emerging downtown, we see this as one of the finest multifamily development sites in all of Palm Beach County,” Troy adds.
Capital One Bank closes $70M Fannie Mae loan
Bethesda, Md.—Capital One Multifamily Finance announced that it has provided a $70 million Fannie Mae fixed loan for the acquisition of Wheelhouse of Fair Oaks, a 491-unit apartment community in Fairfax, Va. Sadhvi Subramanian and Brian Gormley, senior vice presidents in Capital One Commercial Real Estate’s Washington, D.C., office, originated the transaction. Subramanian is responsible for Capital One’s commercial real estate activities in the region, including construction loans, term loans, and lines of credit.
“This transaction highlights the expanded range of services Capital One can now bring to borrowers,” Subramanian says. “We completed two loans for office complexes with this borrower successfully. Thanks to our expertise in multifamily lending, they were very receptive when we proposed working with them on this apartment acquisition.” In particular, the borrower valued Capital One Multifamily’s longstanding relationship with Fannie Mae, which enabled it to negotiate changes to the loan documentation that were critical to the borrower.
Constructed in 1987, Wheelhouse of Fair Oaks is a Class-B+ property that has been regularly renovated and upgraded. Community amenities include a clubhouse with free Wi-Fi, swimming pool and sundeck, 24-hour fitness center, tennis court, racquetball court and private lake. Although its units are in good condition, the borrower plans to make substantial improvements as the units turn over. The borrower also plans to upgrade the fitness center, leasing office and other public spaces.
The fixed-rate loan has a five-year term, five years of interest-only payments, three years of yield maintenance and 30-years amortization payable on an actual/360 basis.
Tampa REO asset trades for $1.3 million amid fierce competition
Tampa, Fla.—Marcus & Millichap has arranged the sale of Columbia Park, a 24-unit community located in Tampa. The 2004-built REO asset achieved a $1.33 million sales price, which equates to $55,208 per unit.
“Bringing an REO foreclosure sale to market in 2014 is not what it used to be several years ago,” says Michael Donaldson, vice president investments at Marcus & Millichap. “This property garnered so much interest from the local, national and international markets that our tour days were completely booked with upwards of several hundred inquiries into the property.”
Donaldson worked alongside Nicholas Meoli, senior associate, in representing both the buyer and seller on the deal.
“Part of the appeal of the property was that it was a 2004 concrete block construction and the unit mix was comprised of entirely three-bedroom floor plans, making this a rare find in a property of this size,” Meoli adds.