TAMPA (July 31, 2014) —Franklin Street announces the sale of Tampa Pines for $1,056,000 million. This sales price represents $33,000 per unit and $44.75 per square foot.
Zach Ames, Kevin Kelleher, Darron Kattan, and Robert Goldfinger – all of Franklin Street, represented the seller, a local investor. The buyer is also a local investor with European equity.
“The sale of Tampa Pines is a very good representation of the current trend in today’s market,” Ames said. “Sellers who purchased distressed assets during the downturn are now selling and realizing significant profits.” The property was purchased by the seller at the beginning of 2013 and was highly distressed.
The seller infused capital into the property and upgraded all units in 2013 including new vinyl-wood flooring, new cabinets, and new appliances. Additionally, the property received several exterior improvements including landscaping upgrades, window and door repairs, roof repairs, and stairwell renovation. After stabilization, the seller cashed in almost doubling their initial investment of $540,000.
“Lending also played an important role in this transaction and will continue to play a role in deals moving forward,”Ames said. “The buyer was a well-capitalized, first-time buyer of multifamily. Even 12 months ago this property would have struggled to secure financing but as the lending market continues to loosen and become more competitive, we are going to see the buyer pool expand while also becoming more competitive and ultimately pushing values higher.”
According to CoStar, multifamily lending has risen over 15 percent nationally.
“The amount of commercial real estate loans overall continues to rise,” said Danny York, president of Franklin Street Capital Advisors. “Multifamily in particular has exploded in the last few months and becomes more crucial in a more-competitive real estate climate.”
Built in 1960 and 1963 Tampa Pines is a 32-unit apartment community located at 12908 15 St. N. in North Tampa. The property consists of 11 buildings and has a current occupancy of 93 percent.
About Franklin Street: Franklin Street is a family of full-service real estate companies 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 divisions—Real Estate, Capital, Insurance, and Management—Franklin Street offers unmatched value and optimal solutions for clients nationwide. For more information on Franklin Street, please visit FranklinSt.com.