Multifamily owner/operator Insula Companies plans to spend another $2.5 million on renovations at a 168-unit apartment complex in Altamonte Springs that it bought last week for $18.55 million.
Insula principal Jeff Talbot said the Sarasota-based company plans major renovations to the 29-year-old complex at 569 Little River Loop known as Landmark at Hailey Walk, which will be rebranded as The Edge at Lotus Lake.
"It's in decent shape, but it really hasn't had a whole lot done to it in recent years," Talbot told GrowthSpotter.
Affiliate FL Edge LLC bought the property on Feb. 1 from Landmark at Hailey Walk LLC, an affiliate of the former Elco Landmark Residential Management LLC of Tampa.
Elco Residential was part of Landmark Apartment Trust Inc., a multifamily REIT that was acquired in October 2015 by Dallas-based Monument Partners LLC, an entity owned by Starwood Capital Group and Milestone Apartments REIT. Elco Residential bought the property in November 2012 for $9.8 million.
Planned upgrades at the 11-building complex include exterior paint, interior renovations to apartments, resurfaced parking and a revamped clubhouse and pool area. A lounge area will be added to the existing tennis court.
The clubhouse will be rebuilt and include a fitness room and business center, including a Wi-Fi café where people can use their personal computers, Talbot said.
This is the third complex Insula has owned in Altamonte Springs. In June 2015, the company purchased the 164-unit, 140,000-square-foot Village Green apartments for $12.6 million, where it projected at the time another $2.3 million in capital improvements.
"We're generally excited about taking some things we learned over there (Village Green) and playing the highlight reel to this deal, doing some if the best things we've done at other properties in terms of renovations and bringing it to this property," Talbot said.
Insula has also sold a number of properties in Greater Orlando in the past year. Last month, the company sold Charter Pointe Apartments in Altamonte Springs for $31 million to Michaelson Real Estate of Jacksonville and Colorado-based Goldelm.
Last September, Insula sold The Valencian in Kissimmee for $32.6 million netting at least $13 million in profit.
Other Central Florida sales by Insula included Waterview Apartments in Orlando, $21,275,000 in October 2015; Highland Parks of Orlando for $9.6 million in December 2014; and Silver Oaks in Orlando at $14.25 million in July 2014.
"We're constantly looking at the market," Talbot said. "We're heavily involved in Orlando, so we kind of see where the value of the properties is going. Sometimes they are high and we don't even want to buy at those prices, but at those prices we would be willing to sell them."