BUYER: CREI-Tampa LLC (principal: Michael Mouron), Birmingham, Ala.
SELLER: Sunnyside Apartments Inc. (1/3 interest), Elvis and Sandra Ramon (1/3) and Vista Alegre Apartments Inc. (1/3)
PROPERTY: 14200 Bruce B. Downs Blvd., Tampa
PRICE: $14.27 million
PREVIOUS PRICE: $13.75 million, January 2005
LAW FIRM ON DEED: Julie Fanelli, Esq., Tampa
PLANS, DESCRIPTION: Birmingham, Ala.-based Capstone Real Estate Investments LLC purchased the 350-unit Sun Pointe Lake apartment complex for $14.27 million.
The price equated to $40,771 per unit or $80 per square foot.
Built in 1981, 21-acre Sun Pointe Lake is located at 14200 Bruce B. Downs Blvd., Tampa. Sun Pointe Lake consists of 510-square-foot one-bedroom, one-bathroom units. The 27 two-story buildings surround a lake in the center of the community. The property also includes three swimming pools. It was 75% occupied at the time of the sale.
The new owner plans to convert the property to student housing.
“We were attracted to it primarily because of its location and potential,” says Anderson Neighbors, chief operating officer and executive vice president of Capstone Real Estate Investments. “Within a quarter mile, you have the University of South Florida and three hospitals. We plan to expend a significant capital investment into the property. There has not been a high degree of capital improvement there in the past 10 to 15 years.”
Among its other improvements, Capstone Real Estate Investments plans to improve the landscaping, install new flooring and countertops in the units and create a new fitness center. The development will be renamed and rebranded as University Lake Apartments.
The new owner hopes to have the property converted by fall 2013.
“Most of the new development [in students housing] has occurred in the three- to four-bedroom unit range,” Neighbors says. “We try to acquire one- and two-bedroom communities because we feel that market is a bit under served.”
The apartment community is Capstone Real Estate Investments' first property in Florida.
Bob Goldfinger, Darron Kattan and Kevin Kelleher of Franklin Street Real Estate Services handled the transaction.
The purchase entity CREI-Tampa LLC mortgaged the property to Synovus Bank for $18.28 million.