ATLANTA (August 5, 2019) – Franklin Street has arranged the $18.3 million sale of Lantern Ridge Apartments, a 150-unit rental community located at 1810 Roswell Road in the Marietta submarket of Atlanta, Ga. Jake Reid, Chad DeFoor and Dan Phelan of Franklin Street’s Atlanta multifamily investment sales team represented an Atlanta-based family office in the sale of Lantern Ridge.  New Jersey-based Liquid Capital purchased the property for $122,000 per unit.  Built in 1973, Lantern Ridge is one of many recent acquisitions in the Atlanta MSA by Liquid Capital. 

“Lantern Ridge Apartments represents the ideal value-add investment property,” said Reid, senior director for Franklin Street. “Multifamily opportunities located in a submarket with a diminishing housing stock in good school districts are the new investment darlings for real estate investors.” 

“Strong employment growth and underlying fundamentals make the Atlanta MSA an investment focus for us,” said Yitzi Karasick, founder and principal of Liquid Capital.  “Atlanta is a critical real estate market hub for the Southeast.” “The seller chose to move forward with Liquid Capital because of the firm’s stellar reputation in the multifamily sector and proven ability to move quickly and close flawlessly,” said DeFoor, senior director for Franklin Street.

Liquid Capital also recently acquired the 490-unit Fields at Peachtree Corners in Norcross, Ga for $51.2 million.  The property represented “a rare large repositioning opportunity in the hot Peachtree Corners submarket with multiple value-add levers to pull,” said Phelan, senior director for Franklin Street.  Fields at Peachtree Corners is currently undergoing amenity and unit upgrades, which will drive tremendous growth as it moves up the quality spectrum. Earlier this year, Liquid Capital purchased Forest Cove, a 646-unit value-add apartment community in Doraville, Ga., for $63.5 million. 

“Forest Cove is poised for strong revenue growth fueled by Liquid Capital’s proven value-add track record,” said DeFoor.  “Dan Phelan and I recently represented them on the sale of a sister property to Forest Cove called Abbots Glen (1980s A.G Spanos product), where Liquid Capital executed their value-add business plan flawlessly.  I know they will achieve similar results at Forest Cove and Lantern Ridge.”

Fort Lauderdale, Fla. (August 1, 2019) – Franklin Street arranged the sale of two apartment properties totaling 22 units located just a few miles north of downtown Fort Lauderdale, Fla.  The properties – Villas on 18th in Fort Lauderdale and Lanai Apartments in nearby Oakland Park – were brokered by the Franklin Street multifamily investment sales team of Dan Dratch, Greg Matus and A.J. Stanford.

• Lanai Apartments – Franklin Street represented the buyer, Oakland Park, Fla.-based Banta Properties, and the seller, Lanai Apartments, LLC, in the transaction of a 14-unit apartment community at 4431 NE 20th Ave in Oakland Park for $1,847,500 or $131,964 per unit.

• Villas on 18th – Franklin Street represented the buyer, Reinaldo Gonzalez, a local private investor, and the seller, Boca Raton, Fla.-based Maven Real Estate, in the sale of an 8-unit rental community at 5211-5221 NE 18th Avenue in Fort Lauderdale for $1,025,000 or $128,125 per unit.

“There is no shortage of demand for value-add assets in South Florida,” said Dratch, senior associate for Franklin Street. “Rents continue to go up and investors continue to improve neighborhoods, allowing properties to achieve higher rents than ever before. New buyer cap rates are compressing while pro forma numbers still look appealing to multifamily investors.”   

“Price per units are increasing as apartment owners are flocking to distressed corridors to invest money and revamp neighborhoods,” said Matus, senior vice president for Franklin Street. “The Villas on 18th sale achieved a top of the market price in terms of cost per unit. This value-add deal was $10,000 per unit higher than the previous market high transaction in the Coral Ridge Isles area of Fort Lauderdale.”

Built in 1972 and 1962 respectively, Lanai Apartments and Villas on 18th feature a mix of one-bedroom and two-bedroom units. The new owners intend to add value by renovating the units and making additional property improvements and upgrades.

Lakeland, Fla. – Franklin Street has arranged the sale of Sunset Lakes, a fractured condominium community located at 1545 Kennedy Boulevard in Lakeland, Fla., for $14.1 million, or $95,074 per unit. Darron Kattan, Kevin Kelleher, Robert Goldfinger and Zach Ames of Franklin Street’s Tampa office represented both the seller, Florida-based PC Sunset Lakes, LLC, and the Greenville, S.C.-based buyer, SL Lakeland Partners, LLC, who plan to buy additional units and renovate the interior and exterior of the property. Franklin Street’s Tom Kersting also coordinated an equity source for the transaction.  The transaction was for 149 out of the 288 condo units in the community, or slightly over 50 percent.

“There continues to be fewer and fewer fractured condo properties available in the state as investors continue to convert them back to rental apartments,” said Kattan, managing director at Franklin Street.  “The buyer’s goal is to buy additional units, renovate and raise rents, and hopes to get at least 80 percent ownership so they can put on long-term financing, sell the bulk units to the next owner, or collapse the HOA and turn it back to a 100 percent rental community.”

“We were happy to identify an equity partner for the Sunset Lakes purchase,” said Kersting, managing director at Franklin Street. “More so, it’s a partnership that is motivated to further support the buyer’s strategy with fractured condos throughout the southeast.”

Built in 1997, Sunset Lakes is adjacent to an 89-acre lake and features scenic waterfront views, detached garages with auto remotes, a fitness center, a business center, additional laundry facilities, a car care center, tennis court, picnic area with barbecue grills, park-like landscaping and 24-hour emergency service.  The property is conveniently located in Lakeland, which is the largest city on Interstate 4 between Orlando and Tampa. 

Miami, Fla.  – Franklin Street has negotiated the sale of Marlin Manor Apartments, a 24-unit rental community located at 1528 NW 3rd Avenue in the Little Havana submarket of Miami, Fla.  

Hernando Perez and Oscar Banegas of Franklin Street’s Miami multifamily investment sales team represented  the seller, 1528 NW 3rd Street, LLC, in the transaction. GW Little Havana, LLC, a local operator, acquired the property for $3.01 million, or $125,416 per unit.

“There’s still foreign money pouring into the Miami market, and investors haven’t lost their strong appetite for multifamily investments in South Florida,” said Perez, director at Franklin Street.  “This property was purchased by a foreign private family office that is importing capital into the U.S. and seeking the security, stability and cashflow of multi-housing real estate investments.”

Built in 1923, Marlin Manor is ideally located across the street from Marlins Park, home of the Miami Marlins baseball team.  The building recently underwent a full rehab with over $500,000 in renovations including a new roof, remodeled kitchens with stainless steel appliances, modern bathroom vanities and new PVC flooring throughout. Additionally, a new laundry room and upgraded fire alarm systems were installed.

“Marlin Manor is one of the largest sales in the Little Havana submarket this year in relation to the number of units, which resulted in a 115 percent higher price than the average transaction for similar 1920s vintage properties,” said Banegas, senior associate with Franklin Street.  “This deal re-affirms that multifamily investments are in high demand and continues to be the preferred asset class among commercial real estate investors.”

St. Petersburg, Fla. (June 19, 2019) – Franklin Street has arranged the sale of 45% of the units at Enclave at Sabal Point, a garden-style condominium community located at 2148 54th Ave S in St. Petersburg, Fla., for $7.3 million, or $66,972 per unit.  Darron Kattan, Zachary Ames, Kevin Kelleher, and Avery Jordan of Franklin Street’s Tampa office represented both the seller, Israeli/Miami-based SLRE Florida Holdings, LLC, and the New York City-based buyer, Axonic Properties.  Enclave at Sabal Point consists of 109 rental units out of a 240-unit complex.

“This fractured condo deal gave investors the opportunity to buy a value-add property in a well-located area of St. Petersburg,” said Kattan, managing director at Franklin Street.  “Significant renovations are planned for the asset, both interior and exterior.”   

“Enclave at Sable Point offered an opportunity to buy 109 condos at a discount to multifamily pricing in a market we believe is rapidly growing,” said Jonathan Shechtman, Managing Principal at Axonic Capital.

Built in 1973, Enclave at Sabal Point consists of 13 garden-style buildings with one-, two- and three-bedroom models.  The property offers convenient access to major roadways (I-275 and US-19).    

Tampa, Fla. — Franklin Street has arranged the sale of University Gardens, a 292-unit multifamily rental community in the University Square submarket of Tampa. Uptown Ambrus Investments, LLC, a private equity investment group, acquired the property from locally-based 13142 22nd, LLC. The buyer paid $23.5 million for the asset, located at 2002 Colonial Parc Drive, which equates to $80,479 per unit or $105.19 per square foot.  Darron Kattan, Kevin Kelleher, Zachary Ames and Avery Jordan of Franklin Street Real Estate Services in Tampa represented both parties in the transaction. Franklin Street Capital Advisors’ Casey Siggins and Ben Miller secured financing for the sale.

 “The strong buyer demand for University Gardens is another example of the continued desire for investors to own workforce housing in Central Florida, especially in improving submarkets like the University Square area,” said Kelleher, senior director of multifamily investment sales at Franklin Street’s Tampa office. “The area, now commonly referred to as the Innovation Alliance District, has given a spark to a location that was traditionally only Class C or purpose-built student housing.  Today, an older asset like University Gardens can be improved and thrive by providing a mid-level rental experience in a submarket which is vastly underserved with that product type.”

Built in phases between 1969 and 1974, University Gardens is situated eight miles directly north of downtown Tampa on I-275 and offers a mix of studios, 1-bedroom, 2-bedroom, and 3-bedroom apartment units. The property is located just southwest of the University of South Florida and provides easy access to the University Mall, Busch Gardens, and Adventure Island water park.