Franklin Street has arranged the sale of the Castilian Apartments, a 304-unit multifamily community located 5 miles from downtown Orlando, for $51.2 million. The 1975-built property traded above its initial pricing guidance, reinforcing an unyielding investor appetite for Central Florida multifamily.
Franklin Street’s Tampa-based Multifamily Investment Sales Team of Darron Kattan, Zach Ames, Avery Jordan and Mark Savarese brokered both sides of the transaction. The seller was Dominium, a national multifamily development and management company, and the buyer is Chicago-based investment firm Laramar, which owns and manages over 30 multifamily communities throughout the U.S.
“The Orlando multifamily market is currently experiencing a sweet spot in terms of growth, as supply simply cannot keep up with the rate at which people are moving to the area, which is translating unprecedented rent growth,” said Kattan. “Ultimately, as long as current migration patterns continue – and we expect they will – Orlando will remain an extremely attractive market for multifamily investment.”
Ames added: “The Castilian’s central location and diverse unit mix will continue to make it an attractive option for renters, especially as record rent growth has made newer multifamily properties unaffordable for many. Laramar’s value-add strategy will help keep the property competitive, at more attainable rents than new construction.”
The Castilian, situated on nearly 15 acres at 4700 Rio Grande Ave., is comprised of 18 two-story, wood frame construction buildings with pitched shingle roofs. The property features a strong unit mix that includes 192 one-bed, one-bath units; 88 two-bed, two-bath units; and 24 three-bed, two-bath units. It was 96 percent occupied at the time of sale.
All apartments feature spacious upgraded interiors with stainless steel appliances, white cabinetry, walk-in closets, faux granite countertops, modern lighting and finishes and vinyl wood flooring. Select units feature a full size washer and dryer, a private screened in porch and a private home entrance. The community’s amenities include a sparkling swimming pool, a full service fitness center, on-site laundry facilities, a clubhouse, and outdoor space with picnic tables and a playground.