Investment firm Stoneweg US has sold the Cambridge portfolio, a 10-property, 1,207-unit garden-style apartment portfolio in central and north Florida, to a joint venture between Harbor Group International and BRG. The sale was valued at $94.3 million, and it is the firm's largest disposition to date.

Stoneweg purchased the portfolio in 2017 and implemented a value-add business plan, improving both the management and operations as well as executing capital expenditures. The property was updated with modern amenities, new landscaping and remodeled units, which the firm said helped to drive occupancy. As a result of the capital improvements, the property was elevated from a class-C property to a class-B property. The business plan ultimately generated 20% IRR for investors, an impressive feat considering the market challenges in 2020 due to the pandemic.

The deal is especially impressive in the context of the greater Florida market. Rents in the Orlando market decreased .4% by the half-year mark, according to research from Yardi Matrix, as tourism and the entertainment industry were both severely impacted by the pandemic, and 1,200 new units came to the market, a total of $994 million in new product. This set the stage for further rent declines in the fall.