Lauderdale Lakes Apartments Trade for $103M in Busy Market
The Atlantic Cypress Creek transaction breaks down to $245,000 per unit.
A Canadian real estate investor is taking over a nearly new Lauderdale Lakes multifamily community for $103 million.
Montreal-based Frankforter Group bought the complex southeast of Commercial Boulevard and State Road 7 from Rockpoint Group LLC and Atlantic|Pacific Cos. on Nov. 20.
The 420-unit Atlantic Cypress Creek apartments sit on 23 acres at 3700 Pacific Point Place. Broward County property records show the complex has 483,072 square feet of living space in about 20 buildings plus tennis courts and a pool.
The property was completed in 2017 and 2018, according to the appraiser’s website. The sale price works out to $245,000 per unit.
The buyer, which bought the property through affiliate Cypress Creek Apartments LP, invests in value-add properties, which offer an opportunity to increase revenue through renovations, lower operating costs and rent increases.
After stabilizing its properties, Frankforter either refinances them and holds them long term or sells them at a profit, according to its website. The company owns retail and residential properties, and other Florida holdings are in Palm Beach County and Tampa.
The Bay Harbor Islands-based Atlantic|Pacific buys, builds, manages and invests in apartments. Boston-based Rockpoint is a real estate private equity firm
The transaction is one of many large multifamily deals this year in South Florida. The market fueled by population growth and the high cost of home ownership has caught the eye of investors.
In the biggest apartment deal this year, the sprawling, 1,520-unit Avant at Pembroke Pines sold in August for $322 million to NexPoint Residential Trust Inc., a publicly traded real estate investment trust based in Dallas.
The runner-up deal was the $209 million sale in May of two communities south of Doral. The Blackstone Group LP, a New York-based private equity and alternative asset manager, bought the adjacent Doral View and Town Fontainebleau Lakes from The Related Group and Rockpoint.
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