Atlanta-based Carroll Organization, a national multifamily owner-operator with seven properties in Greater Orlando, paid more than $200 million on Dec. 22 for three new Orlando apartment complexes, and will eye the market for more in the coming year, the company's president and COO told GrowthSpotter.
"We like the job and population growth outlook over the next few years in Orlando, and these three deals specifically are great quality, non-commodity product that are all in three distinct sub-markets with great demographics, schools and proximity to job drivers," said Josh Champion.
"None are your traditional three-story walk-up garden," he continued. "There are a lot of town homes, ground floor-entry units and a lot of lofts. This creates larger units, direct-access garages and the feeling more of homes than apartments."
The three newly-acquired properties are:
- La Palazza at Metrowest, located at 2454 Lake Debra Dr., the 510-unit apartment complex was built in 2002. Carroll paid $69.375 million, or $136,029 per unit;
- The Cottages at Hunter's Creek (phases I and II), located at the corner of W. Town Center Boulevard and S. John Young Parkway, the two developments total 532 units built in 1999. Carroll paid $81.55 million, or $153,289 per unit;
- Knightsbridge apartments, located in east Orange County off of S. Alafaya Trail, set between the greens of Stoneybrook East Golf Course, with 396 units built in 2000. Carroll paid $49.1 million, or $123,989 per unit.
The Metrowest and Hunter's Creek properties have been re-branded as Arium, an in-house brand from Carroll Communities.
The three properties were acquired as a portfolio deal from The Realty Associates Fund VIII, an affiliate of Boston-based real estate adviser and manager TA Realty.
Carroll Organization now owns more than 65 properties nationwide, with seven in Orlando, a market the company finds promising for more acquisitions in the coming year, Champion said.
"We like the fundamentals of Orlando," he said. "We're looking for deals in A sub-markets, with A locations that are 5-20 years old that have ceilings of at least nine feet, close to job drivers and good demographics with no physical or functional obsolescence."
Carroll acquired two Freddie Mac loans totaling $104.28 million through Atlanta-based Jones Lang Lasalle Multifamily LLC for the Hunter's Creek and Metrowest properties, both of which mature in January 2023.