A Sarasota investment firm that specializes in renovating value-add apartment properties is wasting no time improving its latest acquisition, The Glenn Apartments near the University of Central Florida, and is already scouting its next local acquisition, a lead executive with the company told GrowthSpotter.
Insula Companiesspent $42 million Jan. 12 on the nearly 300-unit complex in eastern Orlando, which is the most the company has ever put up for a purchase, said Jeff Talbot, principal in charge of acquisitions.
The investment firm used a mix of 70 percent debt through Freddie Mac and 30 percent cash for the purchase.
Now Insula, which has owned The Glenn for roughly a week, is investing $1.5 million for touches that include cabinetry, flooring, appliance set ups, a parking lot resurfacing and decorative fencing.
A timetable for the work to start has not yet been established. The apartments house UCF students and regular tenants.
With The Glenn, Insula doesn't have that much work to do, even though the complex was built in the late 1980s.
That's because the prior owners, Pollack Shores Real Estate Group of Atlanta, did quite a bit of rehabilitation ahead of the sale. Pollack paid $23.6 million for The Glenn in 2012, property records show.
Talbot said now that The Glenn purchase has closed, Insula will make more purchases in the Orlando market, which accounts for about one-third of its $380 million investment portfolio.
The company owns four apartment communities in Kissimmee, two in Altamonte Springs, and recently sold three area properties.
While he declined to discuss specific properties, Talbot said Orlando is "absolutely, definitely on our radar for 2016. We like the good underlying fundamentals and rent growth, as well as the strong job growth."