Sunday, January 13, 2013

Cohen Real Estate Capital Closes $22 Million for Multifamily Deals in Florida

Todd F. Cohen
ORLANDO, FL – Todd F. Cohen of Cohen Real Estate Capital LLC, a 7- old commercial real estate company located in downtown Orlando, arranged a $16,250,000 loan to finance the stabilization of a 520-unit apartment complex in Palm Beach County. 

The total debt represented nearly 90% of the acquisition closing costs, and also included funds to finish the planned upgrades.  The bridge loan came from a large national bank and carries an exceptional rate below 6.00%, which will save the borrowers over $1,500,000 in interest over the life of the loan. 

Palm Beach County Skyline
A second more challenging loan was to finance the $5,000,000 acquisition and renovation of an 80-unit new townhome rental community in Tampa that was acquired from a large regional bank via FDIC.

 The project has all three-story units with large 2-car garages.  

Although new construction, the project was poorly occupied and three of the twelve buildings were never completed by the original developer.

Cohen was able to assist the borrower in negotiating his purchase bank and secured equity+debt financing for the acquisition and to fund the completion of the remaining buildings and amenity upgrades.

Tampa, FL Night Skyline
Both loans were closed in less than 45 days from application for the same borrower, an Orlando-based real estate investment company with a portfolio of over 1,500 units.  

This loan represents the 7th deal that Cohen has arranged for the borrower since 2005.

The company is expecting to close several deals in the first quarter, including equity+debt for a $22,000,000 hotel, a large mixed-use downtown development project and a small multifamily rental project.

 CREC has facilitated the purchase and sale of nearly $225 million in debt and equity since 2011 secured by over 600 for-sale condo units, 1,150 rental apartment units and 715,000 SF of commercial space in Florida and Puerto Rico.

For more information, contact:

Todd F. Cohen
(407) 956 2544 - O
(407) 928-5530 - C
(407) 650-2503 - F

The MORE Group: Rising Rents and Declining Vacancy Create Stellar Multifamily Outlook for New Year

Victoria Wood
DELRAY BEACH, FL - Rising rents, declining vacancies and an expansion of construction activity will prevail in most of the nation’s multifamily markets in 2013, according to The MORE Group, a real estate organization specializing in developing, rehabilitating and marketing apartment properties.

“The opportunities for multifamily investors will be exceptional in 2013,” said Victoria Wood, president of The MORE Group. “The new year brings the probability of rising valuations on multifamily properties and the trend is firmly supported with rising rental rates and high occupancy.”

The MORE Group is projecting overall nationwide apartment rental rate increases of 3 to 5 percent in the year ahead, although certain markets will see larger rent gains.

The MORE Group is receiving a significant number of inquiries from investors and institutions regarding The MORE Group’s asset management services for multifamily portfolios following their recent acquisitions across the nation, Wood said.

“The multifamily sector is strong and many sophisticated investors need to establish a position with well-timed apartment investments,” Wood said. “We are partnering with a number of investment groups that rely on The MORE Group for acquisition counseling and asset management services.”

The uptick in multifamily construction is expected to continue throughout 2013, and perhaps well into 2014, Wood said.

A number of developers are seeking urban infill locations, which have strong market appeal to the Generation Y, a large demographic segment between 20 and 34 years old. A similar trend to watch is the emergence of “micro” units, some less than 500 square feet, which have lower rents for tenants on limited budgets, Wood said.

The MORE Group is a Delray Beach, Florida-based real estate organization that operates across North America developing, rehabilitating and marketing rental units, as well as condominiums with for-sale units.

The firm has experience in optimizing more than $1 billion in real estate assets, directing asset management, fractured condominium workouts and construction projects.


Victoria Wood