Berkadia announces it has arranged the sale and financing of Vantage at Panama City Beach, a new 288-unit garden-style community located in Panama City Beach, Florida. Senior Director David Etchison of Berkadia’s Birmingham, Alabama office and Senior Managing Director Cole Whitaker of the Orlando, Florida office together represented the seller, Texas-based Vantage Communities. Senior Managing Director Mitch Sinberg and Associate Director Matthew Robbins of Berkadia’s Boca Raton, Florida office secured $42.6 million in acquisition financing on behalf of the buyer, Cardone Capital. The sale price was not disclosed.

Berkadia originated and Freddie Mac purchased a 10-year, fixed-rate loan with five years interest only.

“Positioned in a highly desirable location just three miles from the white sand beaches of the Emerald Coast, this property provides the new owner with an asset that offers much-needed housing to the surrounding area,” said Etchison. “This acquisition illustrates the pursuit by major capital sources to invest in markets along the Florida Panhandle that offer strong apartment fundamentals and job growth.”

 “The borrower timed this acquisition well, allowing Freddie Mac to commit the loan with aggressive terms and hold its spread despite some of the volatility in the markets,” Sinberg comments. “The lender recognized the strength of the borrower’s business plan in a beachside, tourist market that has significant potential for growth.”

Grant Cardone, founder and CEO of Cardone Capital, the founder of the 10X movement based out of Aventura, Florida, purchased the property and renamed it 10X Living at Panama City Beach.

“I am delighted to be able to offer our investors the opportunity to own a piece of property as spectacular as 10X Living at Panama City Beach,” says Cardone. “I believe this is the future of living, an apartment community that appeals to both millennials and baby boomers, along with everyone in between.”

Cardone has been buying real estate across the USA for over thirty years and his firm’s entire portfolio now consists of 6,537 multifamily units with $1.36 billion AUM. Cardone Capital recently made history by raising $50 million in crowdfunding for real estate using social media, the largest Regulation A crowdfunding ever accomplished.

Built in 2018 and located at 7150 Highway 98, the property consists of one, two and three-bedroom units in three-story buildings located on a 20-acre lot. Units feature faux-wood plank flooring, Energy Star appliances, walk-in closets, digital thermostats, a full-size washer/dryer, a balcony or patio, and a private fenced-in yard in some units.

The gated community, located just three miles from the beach, includes resort-style amenities with a clubhouse, business center, internet café, covered pool lounge, outdoor grills and picnic areas, large and small breed dog parks, dog wash facilities, a 24-hour state-of-the-art fitness center and 24-hour Luxer One Package concierge. 

HOUSTON, TX - American Landmark Apartments (American Landmark), one of the fastest-growing multifamily owner-operators in the country, has acquired Elan 99 West, a 360-unit multifamily community in the suburban Houston community of Katy, Texas. The property will undergo a $1.35 million capital improvements project program and be renamed Elite 99 West.

The acquisition raises American Landmark’s portfolio of properties in Texas to 36, with 12 properties in Houston. The company currently owns and manages approximately 28,000 apartments throughout the Southeast and Texas, and is past its halfway goal of adding $2 billion in assets to its multifamily portfolio this year.

“Houston remains an exceptional market to invest in, with July data from the U.S. Bureau of Labor Statistics illustrating its lead in year-over-year job growth nationwide,” said Christine DeFilippis, Chief Investment Officer of American Landmark. “Among the 12 largest MSAs in the country, Houston reported an annual job growth rate of 3 percent, double the national average of 1.5 percent over the same time period. In addition to this job growth, the Katy Independent School District (ISD) has grown 19 percent over the past five years, ranking No.1 out of the largest Texas districts and demonstrating a flight to quality including affordability, good schools, and job access.”

Senior Managing Director Mitch Sinberg and Associate Director Matthew Robbins of Berkadia’s Boca Raton office, alongside Senior Managing Director Robert Falese and Senior Director Matthew Cullison of Berkadia’s Philadelphia office, arranged the financing on behalf of American Landmark.

American Landmark plans to implement a variety of capital improvements throughout the property, including smart locks, kitchen undermount lighting, exterior ceiling fans and upgrades to site amenities, as well as landscape beautification.

Built in 2016, Elan 99 West is located at 23400 Kingsland Boulevard. One-, two- and three-bedroom units include quartz countertops, full-size washer/dryer, garden tubs with separate showers, private patios and yards, walk-in closets and wood flooring. Community amenities include an infinity pool with lounge seating, lake with jogging path, fitness center, aqua lounge massage room, outdoor kitchen and lounge and clubhouse.

Located in Katy within the Houston MSA, Elan 99 West is situated about five minutes away from Katy Mills Mall, offering a variety of dining, entertainment and retail options. Grand Parkway is less than five minutes from the asset, providing direct access to Interstate 10 and the greater Houston area.

For more information, please visit www.alapts.com.

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About American Landmark

American Landmark Apartments/Electra America is one of the fastest-growing multifamily owner-operators in the United States. Based in Tampa, Florida, American Landmark specializes in the opportunistic acquisition and aggressive management of value-add multifamily assets located in high-growth markets throughout the Southeast United States. Our current portfolio consists of approximately 28,000 units in Florida, Georgia, North Carolina, South Carolina and Texas. The sponsorship team has a solid 25-year track record in the multifamily arena, having purchased and successfully exited over 150,000 units. Including the sale of its public company, Landmark Apartment Trust, to Starwood for $1.9 billion in 2015, the leadership team has delivered an average 23 percent IRR to investors over the past 25 years and our current funds are outperforming projections. We believe in alignment of interests between sponsors and investors, and full and transparent audited reporting in both GAAP and IFRS. American Landmark is committed to delivering great service and outstanding living environments to residents; and delivering consistent, attractive risk-adjusted returns to investors and partners.

Tampa, Fla. – Berkadia announces it has arranged $43.13 million in acquisition financing for Mezzo at Tampa Palms, a 340-unit garden style asset in Tampa. Senior Managing Director Mitch Sinberg, Associate Director Matthew Robbins and Senior Analyst Wesley Moczul of Berkadia’s Boca Raton office secured the loan on behalf of Taurus Investment Management, a global real estate private equity firm based in Boston. Preston Giuliano Capital Partners was the seller.

Freddie Mac originated a 10-year floating rate loan with partial interest only.

“After over a third of the units were renovated, the property exemplified proven value-add potential and upside with the opportunity to further the asset’s value with additional capital improvements,” said Sinberg. “The Tampa MSA also continues to outperform other job markets nationwide, making it a favorite for multifamily investors.”

Built in 1992, Mezzo at Tampa Palms is located at 15210 Amberly Drive. One-, two- and three-bedroom units include large closets, ceramic tile baths with glass enclosed showers, entertainment center and washer & dryer. Community amenities feature two resort-style pools, tennis court, playground, business center and Wi-Fi in community areas. 

Located in the Tampa Palms neighborhood, the community is situated approximately 10 minutes away from Interstate 75, offering convenient access to over 22 million square feet of office space and employers including Johnson & Johnson, Citigroup, Morgan Stanley and Lowe’s Corporate, among others. Downtown Tampa is only 20 minutes south of the property, offering an additional 60,000 jobs.

Naples, Fla. - Berkadia announces it has arranged a $7.684 million loan for the acquisition of Opus, a 63-unit garden-style value-add multifamily community in Naples, Florida. Senior Managing Director Charles Foschini, Managing Director Chris Apone, Senior Analyst Lourdes Carranza-Alvarez and Analyst Shannon Wilson of Berkadia’s Miami office arranged the loan on behalf of The Vazza Real Estate Group, a Boston based real estate company.

Fannie Mae provided a 12-year, fixed-rate loan with 7 years interest only, at an 80 percent loan-to-value.

The property was 97% occupied upon closing, with an average market rent of $1,340 per month, creating an ideal value-add opportunity in a market that has seen historically low vacancy rates.  

“While it wasn’t necessarily planned, the borrower could not have timed the market any better,” said Foschini. “The property’s performance improved during the due diligence process, allowing Fannie Mae to commit the loan at an aggressive spread and terms. They locked rate just as the treasury started to fall, locking in long-term value and an extended interest-only period for their investors.”

“This is an exciting acquisition for us,” added Stephen Vazza, President at The Vazza Real Estate Group. “This is the second multi-family investment we have made in the southeast in the last month and have another 300 units scheduled to close next month. The timing on this asset was perfect with interest rates at an all-time low.  Working with the Miami team at Berkadia was an excellent experience as they approached the transaction with a very high level of professionalism.”

Built in 2002, the property consists of 16 garden-style buildings with 61 two-bedroom units, and one studio and one three-bedroom unit. Each apartment features open floor plans, fully equipped kitchens, washer/dryer connections, patios or balconies, spacious closets, and the complex has 160 surface parking spaces.  

Located at 5248 16th Place SW, Opus is situated approximately 20 minutes outside downtown Naples, which has one of the strongest economies in Florida on account of being a top tourism and retiree destination. Employment drivers include health care, local and city government, and more recently, a growing technology, financial services, IT, and manufacturing employment base.

HOUSTON – Berkadia announces it has arranged the sale and financing of Vargos on the Lake, a 276-unit multifamily asset in Houston. Senior Managing Director Ryan Epstein and Director Jennifer Ray of Berkadia’s Houston office represented the seller, Hunington Properties, Inc. Senior Managing Director Cutt Ableson of the same office secured the financing on behalf of the buyer, Berkshire Residential Investments.

“Vargos on the Lake is a unique asset in a Houston market where construction costs continue to rise, limiting development of new assets,” said Epstein.

“With new development tapering off in 2019, the asset is well-positioned for future rent growth in an advantageous site near Galleria, Westchase District and the Energy Corridor, which includes a variety of high-quality employers,” added Ableson.

Built in 2015, Vargos on the Lake is located at 2411 Fondren Road. One-, two- and three-bedroom units include stainless steel appliances, gas range, white quartz countertops, washer/dryer and USB outlets. The asset also includes 13 townhouse units with attached garages. Community amenities feature a cyber lounge with Wi-Fi, latte and tea bar, executive conference room, fitness studio with kick boxing station and Barkos Pet Park, Houston’s largest dog park in multifamily.

Developed by Hunington Properties Residential, the firm is moving forward with four projects currently in the development process as it ventures into mixed-use micro communities. 

Situated off the Westheimer corridor, the asset is found near large employment hubs and important transit routes. The Galleria, Houston’s third largest business district with about 83,000 employees and 28 million square feet of commercial office space, is only four miles away. Houston’s second largest business district, Energy Corridor, is also only four miles away, featuring over 19 million square feet of office space and company headquarters of BP America, Shell, and ConocoPhilips.

TAMPA, FLA. – Berkadia announces it has arranged a loan for the acquisition of 312 out of 390 condominiums at the Arbors at Carrollwood, a community in Tampa, Florida. Senior Managing Director Mitch Sinberg, Associate Director Matt Robbins and Senior Analyst Wes Moczul of Berkadia’s Boca Raton office arranged the loan on behalf of the buyer, a joint venture between Robbins Property Associates and LEM Capital.

The non-recourse loan was provided by a life company with a five-year term and an aggressive rate.  The loan financed the acquisition along with future advances to finance the buyback of additional condo units and fund capital improvements.                                                                                                       

“Working with top notch sponsors like the collective RPA and LEM team allowed us to reach deep into the market to structure the best possible loan for this unique asset,” explained Sinberg. “Structuring a very flexible life company execution allowed us to craft the loan with funding for future capital improvements, as well as unit buy backs as they come available given the fractured condominium nature of the asset.”

Located at 3939 Erlich Road, Arbors at Carollowood was built in 1999 and  comprises 15 three-story buildings on over 56 acres of land. One-, two- and three-bedroom apartments feature modern open floor plans, nine-foot ceilings, central A/C, vinyl wood floors, walk-in closets and spacious lanais with storage. Community amenities include a clubhouse, cyber café, 2,100-square foot cardio/strength training room, screened outdoor kitchen, zero entry pool and waterfall hot tub, car care center, dog park, boat parking, detached garages, laundry and lighted tennis court.