Excerpted from Tampa Bay Times story.
ST. PETERSBURG — AER, a newly built apartment tower in downtown St. Petersburg, has been sold for $127 million in Tampa Bay’s biggest ever apartment deal.
Camden, one of the country’s largest owners of multi-family rental communities, said it will rename the 17-story, 358-unit building Camden Pier District.
“We are pleased to announce the acquisition of this premier asset in one of our core markets,” Richard Campo, Camden’s chairman and CEO, said in a statement. “We believe the purchase price is 5 to 10 percent below the current replacement cost.”
The sale works out to $354,745 per unit. That is more than for any other multi-family apartment transaction in the bay area, said Darron Kattan, managing director of Tampa’s Franklin Street brokerage.
Although AER opened barely over a year ago, Kattan said it is not unusual for an apartment developer like American Land Venture to sell so soon after completing a project.
“That’s what developers do — develop and sell,’’ he said Friday. “I think the most interesting thing here is that Camden is the buyer. They have a long track record through real estate cycles as to when to buy and sell and it’s a pretty interesting statement that they’re making a big bet on downtown St. Petersburg.”