Franklin Street Sees High Demand for Class B and C Assets in Q1 2017, Dealmaking Expected to Continue
Franklin Street’s multifamily brokerage team arranged $103.8 million in apartment sales in Florida during the first quarter of 2017. Darron Kattan, Kevin Kelleher, Zachary Ames and Robert Goldfinger of Franklin Street Real Estate Services in Tampa brokered the transactions.
“Florida’s surge in apartment sales activity is being driven by fast job growth, solid economic fundamentals and high rental demand,” said Kattan, Managing Director at Franklin Street. “We have a flood of capital chasing a finite number of deals and that has created a very competitive market.”
“The demand from multifamily investors has not slowed down even with the recent interest rate hike,” said Kelleher, Senior Director at Franklin Street. “The market for B and C Class apartment properties in particular is hotter now than it has been for a decade. We are seeing interest from a variety of different buyers that include institutional players all the way to mom-and-pop operators.”
Multifamily transactions arranged by the Franklin Street team in the first quarter of 2017 included:
• Tuscany Bay – Franklin Street represented an institutional seller and a private, family office oriented buyer, in the transaction of a 396-unit apartment community at 5870 Sundown Circle in Orlando, FL, for $36.65 million. Buyer plans a significant renovation to bring the property up to the next level.
• Oak Bend – Franklin Street represented the buyer and seller, both private clients, in the sale of a 112-unit rental community at 1550 University Woods Place in Tampa, FL, for $6.7 million. The buyer is a Canadian-based client looking to diversify and expand holdings in Florida.
• Bridgewater Pointe – Franklin Street represented the buyer and seller, both private clients, in the sale a 100-unit, garden-style apartment property at 151 Eber Boulevard in Melbourne, FL, for $8 million. Franklin Street’s Lonnie Kitchen provided insurance services and the buyer selected Franklin Street Management to manage the asset.
• River View – Franklin Street represented both the buyer and seller, in the sale of a 296-unit apartment property at 5659 Del Prado Drive in Tampa for $23.4 million. The buyer is a New York-based real estate company that has recently bought a significant amount of properties in Florida.
• Liv at Dunedin – Franklin Street represented the buyer and seller, both private clients, in the sale of a 178-unit rental community at 1763 Main Street in Dunedin, FL, for $22.45 million. The property sold for a record price for the vintage as it had just come out of a major renovation where rents were moved 40%+ in a two-year period.
• Montierra – Franklin Street represented the buyer and seller, both private clients, in the sale of a 96-unit apartment community at 14401 N 22nd Street in Tampa for $6.6 million. The buyer was completing a 1031 exchange out of New York City.
Darron Kattan, Kevin Kelleher, Zachary Ames and Robert Goldfinger have over 60 years of combined experience with multifamily real estate in the Tampa Bay Region. The team has represented more than 6,000 multifamily units valued at nearly $400 million since 2015.
About Franklin Street: Celebrating more than 10 years in the business, Franklin Street is a family of full-service commercial real estate companies focused on delivering value-add solutions to meet the evolving needs of clients. Through a collaborative philosophy of leveraging the resources, expertise and experience of each of its divisions – Real Estate, Capital, Insurance, Management and Valuation – Franklin Street offers unmatched value and optimal solutions for clients nationwide. Learn more about Franklin Street at FranklinSt.com.