GULF COAST -- Miami-based Tzadik Management purchased three apartments in Tampa and one in Sarasota for a total of $23.22 million.
The firm purchased the 264-unit Bella Mar in two deeds for a combined $8.64 million, the 160-unit Del Rio for $6.45 million, 120-unit Lago Bello for $4.23 million and the 119-unit North Washington in Sarasota for $3.9 million.
The combined price equated to $35,023 per unit. That figure is lower than the average price per unit for multifamily space ($70,803) in the Tampa Bay area, according to the CoStar Group.
The four properties were part of a 14-apartment portfolio, Tzadik Management acquired from Avesta Communities LLC for $81.36 million or $37,000 per unit. The portfolio contained 2,199 units in Tampa, Sarasota, Lakeland, Orlando and Jacksonville.
Darron Kattan, Kevin Kelleher, Deme Mekras and Elliot Shainberg, all of Franklin Street, represented the seller. Evan Kristol, senior vice president investments in Marcus & Millichap's Fort Lauderdale office, and IPA (Institutional Property Advisors) senior director Still Hunter III represented the buyer.
“The seller purchased most of these properties as distressed opportunities after the last real estate crash,” Kattan, managing director of Franklin Street's Real Estate division, says in a press release. “They were able to clean up and stabilize the assets and capitalize on the recovery of the marketplace and the demand for multifamily properties in Central/West Florida.”
Kristol says the buyer plans to complete the interior and exterior upgrades, stabilize the assets and then spin a few off. The portfolio gives Tzadik Management a presence in several new markets that it can leverage to grow, he says.
The portfolio included the Brandywyne, Landings and Country Place in Winter Haven, Jackson Heights and Kings Trail in Jacksonville, Lakeland Manor in Lakeland, Mount Dora in Mount Dora, Rolling Hills in Orlando and Tanglewood in Eustis. All of the properties were constructed between 1966 and 1996. The average vintage is 1980.
Founded in 2007 by Adam Hendry, Tzadik Management acquires, develops, renovates and stabilizes multifamily assets throughout Florida.