Berkadia arranges $32 million refinance of Orlando apartments near University of Central Florida

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Promenade at Aloma
Berkadia arranged the $32 million recapitalization of the Promenade at Aloma, a 233-unit multifamily community located in Orlando, Florida.

Berkadia announces it has arranged the $32 million recapitalization of the Promenade at Aloma, a 233-unit multifamily community located in Orlando, Fla. Senior Managing Director Charles Foschini and Managing Director Christopher Apone of Berkadia Miami secured the financing on behalf of Pensam Capital, a multifamily real estate investment firm based in Miami, Fla.

Freddie Mac provided the 10-year, fixed-rate loan, with full term interest only and a loan-to-value ratio of 65 percent.

“The Orlando metro area’s economic rebound produced favorable apartment fundamentals in 2021 which are expected to continue into 2022,” said Foschini. “Freddie Mac recognized these fundamentals and allowed for a loan that returned significant equity to the borrower for the value they had added over time.”

According to Berkadia Research, Orlando likely to see a 5.3 percent year-over-year growth in jobs this year. By the end of 2022, staffing levels in six of the metro’s 10 employment sectors are predicted to be at or above the January 2020 pre-pandemic peak. The desirability of living in Orlando will prompt operators to raise average effective rent a projected 8.2 percent by the fourth quarter of 2022.

Located at 2785 Chaddsford Circle, Promenade at Aloma was built in 1998 and consists of 26 two- and three-story buildings on an 18-acre site. The property offers one-, two- and three-bedroom apartments ranging from 908 square feet to 1,268 square feet. Individual units feature ceiling fans, vinyl plank and carpet flooring, laminated countertops and cabinetry, a breakfast bar, walk-in and linen closets, and select units have built-in shelving and washer and dryers. Community amenities include a resort-style pool and spa, clubhouse with Wi-Fi, a fitness center, tennis court, jogging trail, sand volleyball court and a car care area.

The property is situated in northeast Orlando, just 10 minutes from both the University of Central Florida, one of the largest employers in the area, and Valencia College-East Campus. It is also 10 minutes from Central Florida Research Park and Quadrangle Office Park, East Orlando’s largest concentration of white collar and high-tech employers. Notable employers nearby include Siemens, Boeing Corporation, Cisco Systems Inc., Northrop Grumman, Raytheon Systems, and Rockwell Collins. The property is 30 minutes from Downtown Orlando and Orlando International Airport.