NAPLES, FL-Chicago-based Jupiter Realty has sold the Coral Palms Apartments, a 288-unit rental complex, to Homestead Land Holdings Ltd. for just shy of $25.1 million, or about $87,000 a unit. Kingston, Ontario-based Homestead will retain the complex at 4539 Coral Palms Lane as a rental property.

Coral Palms consists of 36 two-story buildings and a single-story clubhouse on about 18 acres. It was built in 1987, according to Ann Bailey, first VP in the Fort Myers office of CB Richard Ellis. She and Jonathan Richards, a multifamily specialist in the same office, represented the seller in the negotiations and were the sole brokers in the transaction.

"Jupiter has held the property since 1998 and is not a long-term holder," Bailey says. "It had taken the property to a high level, and the market is strong, so this was a good time to sell." Current rental rates begin at about $600 a month for one-bedroom units and reach to about $775 a month for two-bedroom units, she tells GlobeSt.com. "The complex has an affordable housing component that requires 20% of the units to be rented to tenants with household incomes at or below the area's median. In Naples, the median is high, almost $80,000 a year," she adds. The complex is 98% occupied and provides Homestead with upside potential.

"For an income property, this sold at a very good price," Richards tells GlobeSt.com. "Condo converters generally pay higher prices, but condo conversion and condo sales have slowed down. Lenders have become much more conservative." Homestead, a specialist in affordable rental housing, owns and operates a number of multifamily assets throughout Ontario. This is its first foray into Florida. A call to Homestead was not returned by deadline.