By D.C. Stribling, Contributing Editor
San Francisco area-based Praxis Capital Inc. has acquired the 232-unit Villages at Turtle Creek in Tampa. As a Class B property, the buyer considers the deal a value-add play.
Built in 1985 on over 11.5 acres, the 15-building property has one- and two-bedroom units ranging from 450 square feet to 1,010 square feet, all with in-unit washer/dryer connections. Praxis plans to invest nearly $3 million to renovate and upgrade the property.
“Similarly upgraded nearby properties are achieving $362 rent premiums over the in-place rent at Villages at Turtle Creek, making this an ideal value-add play,” said Brian Burke, president of Praxis. “We’ve had success employing similar strategies with properties in other states.”
The company’s acquisition strategy calls for buying Class B or Class C properties—with 100 or more units—in the Southeast, but also the West and Southwest. Villages at Turtle Creek will be managed by Praxis’ wholly owned subsidiary, PM Residential Management LLC.
The deal marks Praxis’ second acquisition in the third quarter of 2017. According to the company, it plans to build a portfolio of about 2,000 units in the central Florida market. Praxis says it also looks to expand its relationships with family office and institutional JV equity sources.