TAMPA, FL – Electra America, one of the fastest-growing multifamily owner-operators in the U.S., has bought Landmark at Grand Palms, a 438-unit multifamily community in Tampa, Florida. The property was bought from Starwood Capital for an undisclosed price in a privately negotiated transaction, and will be rebranded as Northgreen at Carrollwood. It will undergo capital improvements totaling approximately $3.5 million.

This acquisition brings Electra America’s Tampa portfolio up to four properties. This is the company’s sixth multifamily property acquisition in Florida so far this year. Nationally, Electra’s portfolio includes more than 22,500 apartment units totaling over $2.5 billion in value.

Berkadia’s South Florida and Philadelphia teams arranged a $39.8 million acquisition loan through Freddie Mac.

A company affiliated with Electra America had owned the property prior to Starwood, which bought it in 2014 as part of a large portfolio sale.

“We’re excited to have this exceptional Tampa property back in our multifamily portfolio,” said Christine DeFillippis, Electra America’s Chief Investment Officer. “We’re very familiar with the asset’s history and potential.  This investment increases our footprint in the highly sought-after Tampa MSA, which consistently experienced 2.9% job growth over the past four years and adding 42,800 jobs in 2016.”

“At the local level,” she continued, “the Northdale/Carrollwood Dale Mabry corridor is economically robust, with the presence of numerous huge box retailers, surrounding homes valued in the $300,000 and up category, and average household incomes of $75,000 within a one mile radius.”

Located at 3831 Northgreen Avenue, Northgreen at Carrollwood features one- and two-bedroom apartments in several two-tale buildings on 34 acres. Units currently include a washer and dryer with ceiling fans. The capital improvements will include updated lighting and plumbing fixtures, with plank flooring in common areas and various amenity and clubhouse enhancements.

Built in 1986, the pet-friendly community offers a 24-hour fitness center and free Wi-Fi café, as well as four resort-style pools, tennis courts, a children’s playground and dog park. The property was 96% occupied at time of sale, with effective rents at $981.

Electra America is national multifamily owner-operator specializing in multifamily acquisition, repositioning and property management.  It owns and operates properties in Georgia, Florida, Maryland, North Carolina, Texas and Virginia. 

Powered by WPeMatico

SAN FRANCISCO, CA – Calvera Partners, a California-based private real estate investment firm, sold pksl (pronounced “pixel”), a 37-unit apartment building located at 1090 Sunnyvale Saratoga Rd. in Sunnyvale, CA, for $15.7 million ($424,000 per unit), an 89% increase over the building’s acquisition price of $8.325 million in January 2014.

Home base to the original tech darlings Atari, AMD and Yahoo, the pksl project was the transformation of a 1960s-era apartment complex, formerly known as Crestview Terrace. With a mission to reposition underperforming properties with creative and authentic brands, high value tenant amenities, and modern design, pksl underwent a major transformation.

“This community underwent the most significant physical change of any property we’ve owned,” said David Saxe, managing principal at Calvera Partners. “It was in disrepair when we took ownership and needed a major renovation and image upgrade. We spent more than $2.5 million renovating the property both inside and out to make a community that is modern, fascinating, and functional for today’s renter.”

Sunnyvale was the birthplace of Atari and modern video gaming. Atari’s iconic wood grain gaming console and the highly pixelated video game characters provided the imagination behind the design. Much like the boutique hotel industry, which is the company’s source of inspiration, Calvera made a sense of place and community in a building that lacked those characteristics.

“We made a tenant lounge out of an ancient mailroom, commissioned an artist for a mural at the pool, and opened up the patios to a new courtyard to encourage connection among neighbors,” said Saxe. “These attributes made pksl stand out in a very crowded apartment market. With design flair, creative outdoor and communal spaces, architect-chosen details, and a color scheme bursting with energy and promise, pksl’s refreshed residences challenged the notion of what renting in Silicon Valley could be.”

The sale fits into Calvera Partners’ larger vision and strategy, which is to provide accredited investors with direct access to smarter opportunities in high growth markets. By repositioning underperforming properties, it allows the company to better attract today’s renter who wants to live in a tech-savvy, cutting edge, and hip apartment building yet not pay new construction rents.

“Our vision sets our properties apart from our peers and establishes cachet rivaling new apartments,” said Saxe. “As much as we’d like to hold the property forever, we received an offer that fully recognizes the work we place into the building and this sale will generate a substantial return for our investors in less time than anticipated.”

Powered by WPeMatico

RALEIGH, NC – RK Properties announced that it has bought Edwards Mill, a 220-unit multifamily property in Raleigh, North Carolina.

“We are excited to add our third and final property to RK Opportunity Fund IV with the buy of Edwards Mill,” said Steve King, Vice President of Long Beach, California-based RK Properties.

“We believe this asset is consistent with our disciplined underwriting criteria that meets the requirements of our investors for preservation of capital, reliable monthly income, appreciation, and tax benefits.”

Mr. King noted that RK Properties focuses on acquiring multifamily assets in strong locations with historical rent growth and a value-add opportunity.

Edwards Mill is the company’s first Delaware Statutory Trust (DST) structure, offering investment opportunities for 1031 exchange buyers and direct capital investors.

Built in 1984, Edwards Mill is a 220-unit class ‘A’ community situated on 36.5 acres, with one-, two- and three-bedroom townhome style apartment homes that average 1,213 SF. Current rents average $1,129 per month, and the complex is currently 95% occupied.

The community’s amenities include a swimming pool, clubhouse, business center, fitness center, grilling and picnic areas, car-care center, and detached and attached garage parking. Each apartment home features central air conditioning and heat, vaulted ceilings, fully equipped kitchens, walk-in closets, and washer/dryer hook-ups.

RK Properties is implementing an improved marketing and value-add campaign targeted towards repositioning the Property with improved rents and management. The Company will immediately implement interior upgrades including faux hardwood flooring, stainless steel appliance packages and lighting fixtures, new finishes, and washers and dryers in all units. It believes these upgrades will justify average rent increases of $75 to $125 per month, depending on unit sizes. Plotted exterior building enhancements include the pool area, fitness center and office upgrades, and exterior paint.

RK Properties has been successful in upgrading units in this manner at other RK-owned and operated assets in similar submarkets and intends to follow the same successful formula of high quality components and attention to detail to achieve optimum rent premiums at the Property.

Powered by WPeMatico