UPDATED: AUGUST 27, 2017 3:26 PM — A group of Brazilian real estate developers paid $1.2 million last week for their first venture in Orlando, buying the remaining land of the Fairview Grande condominium project with plans to build second and third mid-rise towers that were abandoned during the recession.
Located at 4177 N. Orange Blossom Trail, the 2.38 developable acres that constitute two building pads had plans approved in 2007 by the city of Orlando for a combined 110 units. The land sale closed Aug. 18, with a deed recorded Thursday in Orange County.
"Our clients are not planning to do anything extravagant there, just to finish what was started with Fairview Grande 10 years ago," said Denio Abreu, broker and co-owner of NewImob Realty Corp., a Brazilian real estate brokerage firm based in Orlando that advises foreign investors on commercial and residential investments in the United States.
"We've already had a couple talks with the HOA manager there," he told GrowthSpotter on Friday. "We've had Florida Engineering Group do the due diligence and speak with city officials, they don't believe we'll have problems to build what was approved in the past. But since those permits have expired we'll need to re-apply."
Development started on the Fairview Grande condominiums in 2006 by Orlando developer Albert Kodsi, who built the first six-story mid-rise building of 50 units in 2009 with plans for two more that would overlook Lake Fairview near College Park.
When the recession hit and buyers couldn't easily get financing for condo units, Kodsi's group abandoned the project in 2009. Foreclosure followed in 2012, and in March 2013 creditors took over the debt and land.
As previously designed, the second and third condo towers would have 50 and 60 units, respectively, over approximately six stories, with floorplans ranging from 1,700 to 2,200 square feet.
The Brazilian developers, who weren't identified on documents filed by Abreu's office for the land buyer affiliate, will ask the city to allow all units to have three bedrooms and two baths, as opposed to the past design that had one third of the units with two bedrooms.
The development group has yet to hire or field offers from architecture firms, and will prefer to hire a local architect and general contractor, Abreu said.
Early conservative estimates for total project cost of the remaining two buildings are near $30 million, he added. Condo units would be marketed from the high $200,000s to $300,000.
The new ownership hopes to break ground on the site by late December, with an 18- to 24-month construction window to completion, Abreu said. The developers will finance the entirety with their own equity, and NewImob Realty will manage the listing.
The seller was Fairview Grande of Orlando LLC, an affiliate of Massachusetts-based Patten Companies.
A $15 million judgment was levied on Kodsi in January 2016, the Orlando Sentinel reported at the time. It was the difference between a foreclosure sales price and what was owed to the Patten Companies' affiliate that acquired the project debt.