Darron Kattan, Kevin Kelleher, Zach Ames, and Robert Goldfinger with Franklin Street, represented the seller, a local investor as well as the buyer, a cooperating broker with AC Commercial out of Orlando. The buyer was completing a 1031 exchange out of California.
“As hot as the local multifamily market has become, California is hotter,” Kattan said. “The buyer was able to sell in a lower cap rate market and increase his return on equity significantly.”
Since the beginning of 2012, several improvements were made to the property including landscape renovations, swimming pool/area improvements, full unit upgrades, and new appliances. The property was also more than 95 percent occupied at the time of sale.
“Many local buyers looked at the property and couldn’t get to the same price, which is often the case at this stage in the real estate cycle. The property was on the market a few months but had great interest immediately as it was well located in densely-populated Pinellas County. We expect the trend of out-of-state 1031 buyers from across the nation to continue to grow and even dominate the buyer profile moving forward.”
Sawgrass is a 34-unit apartment community located at 4150 76th St. Pinellas Park, Fla. The property consists of two two-story buildings that sit on two acres of land made up of all two-bedroom, one-bath floor plans. The property has close access to I-275 and US-19, major North/South and East-West thoroughfares as well as located within walking distance to several retail and dining venues including Home Depot, Target, and Starbucks.
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