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ORLANDO-In its 10th off-campus housing transaction with Canada-based Jaymor Security Ltd., locally based Smith Equities Ltd. orchestrated the $10.5-million sale of Jaymor’s 304-bedroom College Station Apartments to Dallas-based FWC Operating GP owned by FirstWorthing. The property has 78 apartment units but bedrooms in each apartment unit are rented individually.

FWC paid Jaymor subsidiary College Station Apartments Ltd. about $36,000 per bedroom, or $138,157 per apartment unit, for the four-year-old, 95%-leased property at 2701 N. Alafaya Trail near the University of Central Florida campus in east Orlando. Jaymor is based in Richmond Hill, Ontario, Canada.

The average living area in the units is 1,350 sf with average rents starting at $1,880 per month. The starting rent translates to $470 per bedroom per month. All apartment units have four bedrooms and four bathrooms. College Station Apartments offers renters a computer lab, physical fitness room, pool and office quarters.

“This type of property is much sought after by certain investors,” Smith Equities broker and vice president Paul M. Guyet tells GlobeSt.com. “It’s a great business for the right investor but it is not a good investment for an absentee owner, unless he or she has an excellent management team” on site.

Guyet’s colleagues broker Debbie M. Coble and vice president Mark D. Smith participated in the transaction, bringing buyer and seller together. Area brokers familiar with off-campus housing assets tell GlobeSt.com the $138,157 per-apartment price is above replacement cost but still considered in line for a quality asset.

Construction industry sources tell GlobeSt.com current replacement cost for a comparable property, including land, is about $85,000 per apartment, with some higher-end properties costing about $100,000 per unit.

FirstWorthing was the only bidder for the property which was on the market for less than a month, Guyet tells GlobeSt.com. The deal took three months to complete, from contract signing to closing. Smith Equities has brokered previous sales of 1,200 beds to FirstWorthing, an institutional investor with student housing assets throughout the US.

In Florida alone, Smith Equity’s student housing brokerage group has sold about $94 million worth of student housing covering 3,388 beds, Smith Equity president Robert E. Smith tells GlobeSt.com. His brother, Mark Smith, has participated in student housing transactions to date.

Smith says that besides FirstWorthing, other active off-campus housing investors nationally are JPI of Irving, TX; GMH of Newtown Square, PA; American Campus Communities, Austin, TX; Allen & O’Hara, Memphis; Capstone of Birmingham, AL; and Fairfield Properties, Grand Prairie, TX.

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