Houston-based multifamily developer The Hanover Company is preparing to re-enter the Orlando market after more than 20 years, as the third buyer under contract for land along Turkey Lake Road that's considered one of the last large housing infill opportunities in Dr. Phillips.
Based southwest of the intersection of Sand Lake and Turkey Lake roads, with frontage on both Big Sand Lake and Little Sand Lake, the property includes roughly 160 gross acres, with about 85 acres of that developable timberland.
Hanover's targeted 17.74-acre site, of which 8.77 acres could be impervious, would have 394 apartments across eight four-story buildings on what is "Lot B" within the property.
Hanover filed its Development Plan with the county in mid-February, after DPs were filed for neighboring lots "A" and "C" by Greystar Development (5.71 acres, 185 age-restricted multifamily units), and Meritage Homes (50.58 acres, 181 single-family homes), first reported by GrowthSpotter on Feb. 13.
Currently named "Hanover at Dr. Phillips," the Hanover DP forecasts a wide range of outdoor amenities on the property, including a swimming pool with sundeck, cabanas, trellis with barbecue grill, a firepit, giant checker board, bocce court, a multi-purpose event lawn, fenced dog park, dog wash building and putting green.
All three prospective developers have their lots under contract, with closing estimated for the Fall after county approvals of various permit applications. Infrastructure work would begin shortly after on a new wishbone-shaped access road into the property, which all three buyers would share the cost to develop.
Executives with Hanover Company did not respond to requests for comment on Monday about its investment estimate for the Dr. Phillips project.
Hanover traditionally funds its new developments with a combination of private equity partners and a standard construction loan. It would be in the midst of procuring that lender now to establish a financing package in the coming months, prior to closing.
The company currently has 13 multifamily properties across seven states that it owns and operates, according to its website. Hanover built and owned some assets in Greater Orlando in the 1980s and 1990s that it later sold, meaning this would mark the developer's return to the market since the mid-1990s.
GrowthSpotter first reported in February 2016 that CBRE Orlando's Land Services team began marketing the property. The land is now under contract to an unnamed master developer out of Tampa, which has worked through local attorneys to negotiate infrastructure agreements with Orange County in recent months.
In mid-November, plans to subdivide the 85 acres into three lots, and build an initial wishbone-shaped road providing two points of access on Turkey Lake Road, set the stage for secondary buyers' plans to be submitted now.
Adjacent to Orlando's tourism corridor, the vast property boasts 1,800 feet of frontage on the two lakes. Windermere and Dr. Phillips make up one of the highest income demographic submarkets in the state, lending this property to high-end residential development.
Known as the "Grenada Property," this is a remnant of more than 700 acres bought on or near Sand Lake Road in the late 1970s by Israeli architect and real estate developer Moshe Mayer, known for luxury hotels he built in Africa. Most of it is still zoned under the expansive Granada PD (the name is misspelled on zoning documents).
When he passed away in 1993, Mayer's local properties were divided between two investment parties from Israel, the Marcent Group and Grenada Group.
Shutts & Bowen LLP attorney Dan O'Keefe has led the property through months of county roadway agreements on behalf of the master developer. That road agreement and infrastructure PSP are on pace to go before the Board of County Commissioners for approval this month.
Hanover's and Greystar's DPs and Meritage's PSP are scheduled to go before the Development Review Committee on March 15.