ORLANDO-Sundance, a 300-unit apartment community in Clermont,has sold for $23.6 million. Located on John Lake Rd., the propertywas constructed in 2002 and is 96% occupied.

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Cole Whitaker, head of the Southeast Division of Hendricks &Partners, an apartment property sales and research firm negotiatedon behalf of the seller, Capreit Apartment Homes, a Rockville,MD-based owner and manager of multifamily housing communities. Thebuyer was Sundance Clermont, LLC, an entity affiliated withDallas-based Westdale, a multifamily property management firm.

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“The buyer felt comfortable that there’s not going to be newmultifamily construction occurring in Clermont for quite a whiledue to both the local and county government positions onmultifamily,” Whitaker tells GlobeSt.com. The City of Clermont shutdown multifamily development that offers more than eight units anacre after the housing boom.

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At $23.6 million, Whitaker says the pricing was attractive for aCentral Florida property built in 2002. The property sold for lessthan $80,000 a door, and it would cost north of $110,000 a door torebuild the property—if the city would even allow the construction.Freddie Mac financed the deal at a sub-5% interest rate.

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Jay Ballard, a senior director in the Multifamily Group atCushman & Wakefield in Orlando, tells GlobeSt.com that class Aand class B assets like Sundance are in demand. The availability ofdebt at low interest rates, improving fundamentals in the marketand a lack of new construction are driving deals in CentralFlorida.

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Year-to-date, the Orlando market has seen about $312 million intransactions compared to $224 million a year ago, according toCushman & Wakefield. Ballard predicts the market will see northof $400 million in transactions by the end of the year. But thatpales in comparison to the historic average of $700 million to $900million a year.

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“Clearly, we’re seeing a rebound and multifamily is beginning tolead the transaction recovery versus other food groups,” Ballardsays. “Most of the transactions are traditional legacy assets thatare unencumbered with any type of hair. We have seen sometransactions from the fractured basis, but those are typicallydistressed properties.”

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