Meridian Capital Group, America’s most active dealmaker, arranged $66 million in acquisition financing for a multifamily portfolio containing six properties located throughout Florida on behalf of Blue Roc Premier.
Although all closings occurred on one coordinated day due to the purchase agreement requiring a simultaneous closing for the portfolio, each property was financed separately to allow maximum flexibility for the sponsor. The seven-year Freddie Mac loans, provided by Capital One Multifamily Finance, all feature floating rates and two years of interest-only payments. This transaction was negotiated by Meridian Senior Managing Director, Seth Grossman, and Vice President, Sarah Kuebler, who are both based in the company’s Solana Beach, CA office.
The portfolio consists of six properties located in Atlantic Beach, Jacksonville, Orange Park, Ormond Beach, DeLand, and Brandon, FL, totaling 1,010 units with an average occupancy rate of 97%. The well-equipped complexes include strong amenity packages that vary by location, though many feature racquetball, tennis, volleyball, and swimming pools onsite. While a portion of the units at each community had been renovated prior to the acquisition, the sponsor plans to invest in excess of $10 million of capex into the portfolio for renovations and upgrades. Additionally, all of the properties are advantageously located within their submarkets near major thoroughfares, employment opportunities, restaurants and numerous retailers.
“Even though these six assets were spread across the state of Florida in many different markets, each of the assets are located in a submarket that our client currently owns and manages other apartment communities in. That deep knowledge of direct comps and market specifics helped the lender quickly gain comfort and confidence in the business plan and upside expectations,” said Mr. Grossman.
Founded in 1991, Meridian Capital Group, LLC is one of the nation's largest commercial real estate finance and advisory firms. Meridian is headquartered in New York with offices in New Jersey, Maryland, Illinois, Florida and California. Working with a broad array of capital providers, Meridian arranges financing for transactions ranging from $1 million to more than $500 million for multifamily, co-op, office, retail, hotel, mixed-use, industrial, healthcare, student housing, self-storage and construction properties. www.meridiancapital.com