NY-based Topaz Capital Group acquired the value-add property in one of the Southeast’s most up and coming multifamily investment markets
MELBOURNE, FL (December 6, 2021) – Franklin Street has arranged the $30.6 million sale of a 229-unit multifamily portfolio in Melbourne, Florida, a city on the state’s East Coast that has been increasingly attracting the attention of multifamily investors. The Harbor Village portfolio consists of two adjacent properties, one with 143 apartments units and one with 86 townhome units.
Franklin Street’s Tampa-based Multifamily Investment Sales Team of Darron Kattan, Zach Ames, Avery Jordan and Mark Savarese brokered the transaction on behalf of both the seller, Scotto Properties of New Jersey, and the buyer, New York-based Topaz Capital Group, which strategically invests in multifamily rental communities across the Southeastern United States.
“The Southeast continues to see strong demand from multifamily renters, fueled by sunbelt migration, low unemployment and strong economic factors,” said Ames. “As a result, we are seeing increased demand from investors, especially in secondary and tertiary markets like Melbourne, which are less competitive and provide significant value-add opportunity.”
According to a Q3-21 report by Franklin Street, the Melbourne multifamily market is demonstrating the strongest market measurements in all of Central Florida, with the lowest overall vacancy rates, significant increases in rent, continuous population growth and a healthy household average income.
“The Harbor Village Portfolio offered the opportunity to acquire two stable value-add assets in a market poised for exceptional growth over the next few years,” said Kattan. “We can expect to see Florida’s Space Coast, and the Melbourne market in particular, emerge as one of the most in-demand multifamily investment markets in the Southeast in 2022.”
Harbor Village Apartments, built in 1976, consists of eight two- and three-story buildings, with 123 three-bedroom units, 15 two-bedroom units and five three-bedroom units averaging 581 square feet. Harbor Village Townhomes consists of 19 two-story buildings with 82 two-bedroom units and four one-bedroom units averaging 972 square feet.
The properties sit on a combined 12.23 acres at 150 & 220 E. University Blvd., minutes from Downtown Melbourne and some of Florida’s finest East Coast beaches including Satellite Beach, Paradise Beach, Melbourne Beach and Cocoa Beach. It is also convenient to major employers such as Northrop Grumman, Patrick Air Force Base and the Kennedy Space Center.
Amenities include two resort style pools, green space, pond views, laundry facilities, picnic and grilling areas. Many units also enjoy patios and balconies.
About Franklin Street: Founded in 2006 during one of the toughest real estate climates, Franklin Street focused on delivering value-added solutions to meet the evolving needs of clients. Through a collaborative philosophy of leveraging the resources, expertise and experience of each of its lines of business, Franklin Street has grown to include seven business divisions – Investment Sales, Tenant and Landlord Representation, Capital Advisory, Insurance, Property Management and Project Management. With more than $5 billion in transaction value across all major product types, Franklin Street offers unmatched value and optimal solutions for clients nationwide. Headquartered in Tampa, Fla., the company has offices in Fort Lauderdale, Jacksonville, Miami, Orlando and Atlanta. Learn more about Franklin Street at FranklinSt.com.