Market Report

Michael Donaldson and Nicholas Meoli, senior associates in Marcus & Millichap’s Tampa office, had the exclusive listing to market the property on behalf of the seller, a limited liability company based in Louisiana. Donaldson and Meoli secured the local buyer of the property.

Azalea Hill was built in 1977 and is located at 420 Mills Street in Leesburg. The property consists of seven buildings of modular frame construction, resting on a total of 3.2 acres. The unit mix consists of a variety of one-, two- and three-bedroom furnished and unfurnished units and studios.

Bay Area

Marcus & Millichap Real Estate Investment Services, a national real estate investment services firm, has announced the sale of Davis Island Portfolio, a 16-unit apartment property located in Tampa, Fla., according to Richard D. Matricaria, regional manager of the firm’s Tampa office. The asset sold for $750,000, which was $50,000 above the asking price.

Casey Babb, a CCIM and senior multifamily specialist, and Luis Baez, associate in Marcus & Millichap’s Tampa office, represented on the seller, a private investor based in Mississippi. Babb and Baez also represented the buyer of the property, a local private investor.

The Davis Island Portfolio was built in approximately 1925 and is located at 38, 40 and 42 Davis Boulevard in Tampa. The property consists of three buildings and 16 residential units with 150 feet of frontage on Davis Boulevard and is located 0.12 miles south of Tampa General Hospital, the primary employment center on ‘The Island.'

"The Davis Island Portfolio offering was well received by the marketplace in spite of the troubling new flood insurance rates, which were dictating approximately $1,250 per unit for flood coverage alone," says Babb. "Although we were forced to market the property on an all-cash basis, we were still able to generate 10 offers in less than a week and negotiated for the seller, a no contingencies contract at $50,000 above the asking price with a significant non-refundable deposit and a 10-day closing. Given that our client was in a 1031 exchange, he enjoyed the liquidity and hassle-free transaction we were able to deliver," adds Babb.

Marcus & Millichap Real Estate Investment Services, a national real estate investment services firm, has announced the sale of Temple Acres Portfolio, a 124-unit apartment property located in Tampa, Fla., according to Richard D. Matricaria, regional manager of the firm’s Tampa office. The asset sold for $3,675,000.

Casey Babb, a CCIM and senior multifamily specialist, and Luis Baez, associate in Marcus & Millichap’s Tampa office, represented the seller, a local private investor.  Babb and Baez also represented the buyer of the property, a foreign private investor based in Montreal, Canada.

The Temple Acres Portfolio is located at 10400 Davis Road, 8726 Springtree Lane and 8700 Copeland Road in Tampa. This is a 1970s garden apartment portfolio consisting of three communities located within a half-mile radius of one another in east Tampa, near Temple Terrace. They are housed in single-story duplex buildings with concrete block exterior walls and pitched shingle roofs. Units feature private entrances, functional floor plans, fully appointed kitchens and baths, individual air-conditioning and either country water and sewer, or septic water and sewer.

All three properties feature large, open green space, mature oak trees and a quiet, residential neighborhood setting.

"The Temple Acres sale was a challenge since the units were 1970s vintage and in three separate locations," says Babb. "We offered above average yield and were able to generate nine offers during our marketing campaign," continues Babb. "The seller was a local doctor who had owned the property for nearly 15 years and this is the Canadian buyer’s first acquisition in the Tampa Bay area."

Southeast Florida

Meridian Capital Group, LLC, a national commercial real estate finance and advisory firm, negotiated a $10.1 million mortgage for the purchase of the Ocean Reef office property located in Key Largo, Fla., on behalf of a foreign sponsor.

 

The seven-year loan, provided by a local portfolio lender, features a competitive fixed-rate of 3.95 percent, 50 percent recourse, amortizes over 25 years and has no prepayment penalty. This transaction was negotiated by Meridian Capital Group Director Noam Kaminetzky, who is based in the company’s Boca Raton office. 

 

Ocean Reef is composed of three multi-story office buildings, totaling more than 30,000 square feet, and is located at 31 Ocean Reef Drive. Notable tenants include Bank of America, Northern Trust, The UPS Store and The Chamber of Commerce.

 

"An unusual challenge in negotiating this loan was the fact that many tenants lease their space on a month-to-month basis and Meridian had to clearly illustrate mitigants to this risk to win this transaction," said Kaminetzky. "Additionally, rates significantly increased from the time the loan was put under application, but Meridian's unique and long-standing relationship with the lender ensured that the rate was honored and the loan was closed as quoted," he added.