Thursday, September 8, 2011

ARA Brokers Sale of 356-Unit Garden Apartment Community in Orlando, FL




Orlando, FL  — Atlanta-headquartered ARA, the largest privately held, full-service investment advisory brokerage firm in the nation focusing exclusively on the multihousing industry, recently brokered the sale of the Preserve at Econ River (top left photo), a 356-unit garden style apartment community located in the East Orange/UCF submarket, one of the strongest in the region.

 The Orlando, FL-based ARA sales team, led by Principal, Kevin Judd and Vice Presidents Patrick Dufour and Matt Wilcox, represented Atlanta, GA-based JLC Southeast in the sale of the $20.75 million community to Atlanta-based Pollack Partners, Inc., a real estate investment and services firm focused on multi-family and mixed use properties and The Carlyle Group, a private equity fund. 

“The Preserve at Econ River offered the buyer an excellent opportunity to acquire a well located garden apartment community with significant upside potential,” said ARA’s Kevin Judd.

 “With the expiration of the original Tax Credit status of the property in June of 2009, rent increases have been significant and will continue to grow as the remaining low-income units are turned and rented at market rates. “

 There is additional upside potential as the units turn due to temporary concessions offered during the initial renovation and re-tenanting of the property in summer 2010.


 From ongoing lease expirations or move-outs, approximately 81% of the units are eligible for full market rents.   The remaining 19% of units (and others that recently became eligible for market rents) present a significant “upside” opportunity for the buyer. 

 Located in one of the strongest submarkets in the region, the Preserve at Econ River sits in close proximity to both The University of Central Florida (middle right photo) and Full Sail Universit (lower left photo) with a combined student and faculty population of more than 76,000. 

Additional employment opportunities abound within minutes of the property including Siemens, a power-generation & technologies conglomerate employing 5,000 in metro Orlando; Central Florida Research Park (lower right photo), home to 116 companies employing approximately 9,500; and downtown Orlando which accounts for more than 15 million square feet of office space and 56,700 employees.

Constructed in 1998, The Preserve at Econ River recently underwent a $2 million renovation including new hardi-plank siding on the first floor. The property was 92% occupied at the time of the sale.

 To schedule an interview with an ARA executive regarding this transaction or for more information about ARA, nationally please contact Lisa Robinson at lrobinson@ARAusa.com, 678.553.9360 or Amy Morris at amorris@ARAusa.com, 678.553.9366; locally, Marti Zenor, at mzenor@ARAusa.com or 561.988.8800.  

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