Berkadia has arranged a $38.75 million loan for the acquisition of Deerwood Village, a partially renovated, 328-unit garden-style apartment community located in Ocala, Fla. Senior Managing Director Charles Foschini, Managing Director Christopher Apone and Senior Analyst Lourdes Carranza-Alvarez of Berkadia’s South Florida office arranged the loan on behalf of the buyer, West Shore LLC, a real estate investment firm based in Boston.
Freddie Mac provided the 10-year, fixed-rate loan with an extended interest only period and an 80 percent loan-to-value.
“Deerwood ranks among the nicest assets in Ocala,” said Foschini. “Freddie Mac realized that as well, and working together we were able to carve out terms for the buyer that granted many credit exceptions and allowed for a loan that gave Westshore a financing edge in both leverage and rate when competing for the asset.”
Built in 2006, Deerwood Village is composed of 40 two-story residential buildings, along with a clubhouse and maintenance building, on over 37 acres. The property offers a variety of spacious one-, two- and three-bedroom units in—average unit size is 1,015 square feet—including some with a unique “big house” design featuring private entries and attached garages.
The previous owner had spent over $5 million on capital improvements since 2015, including updating approximately half of all the unit interiors (with granite countertops, stainless steel appliances, and new wood-plank flooring) as well as renovating the clubhouse, expanding the fitness center, updating the poolside amenities, improving exterior paint and stucco, and upgrading the landscaping.
Deerwood Village is conveniently located just 10 miles from downtown Ocala and within five miles of over 70,000 jobs at employers like Lockheed Martin, Ocala Health System and Munroe Regional Medical Center.