March 10, 2021
The Multifamily Firm is proud to announce the sale of the Legacy Trail Apartments in the Sarasota County sub-market of Nokomis, Florida. The sale consisted of 16 total units, in 8 masonry buildings, on 1 parcel of approximately 1.65 acres of land and sold for $1,500,000, which equates to $93,750 per unit. The transaction closed at the contract price with 3rd party financing secured despite overcoming lender related pandemic challenges.
Through an exhaustive National marketing campaign, the offering generated 25 written offers and an astounding 548 registered buyers from 34 different States. Even with immense market demand, the property posed numerous challenges from a sale perspective due to significant deferred maintenance at the time of sale. Furthermore, the property operates with septic & well water systems, which created an additional level of uncertainty and disqualified the property from utilizing highly favorable agency financing.
The Legacy Trail Apartments offering was a classic value-add offering and as such, the buyer implemented a significant interior / exterior renovation budget into the acquisition financing. Based on rental comps in the area and professional management guidance, the anticipated rental upside post renovation is $411 per month per unit for the two-bedroom units and $157 per month per unit for the one-bedroom units. A major factor in supporting this upside stems from the location of the asset and the numerous new developments in the area. Within a 5-mile radius of the subject property there is a new single-family home development by Taylor Morrison, a new Sarasota Memorial Hospital development, a new Amazon Distribution Center, and the massive Sarasota County Legacy Trail Extension. Additionally, the property is less than 5 minutes from Casey Key Beach, Venice Beach, and the Historic Downtown Main Street in Venice.
All said, the sale is yet another example of the continued strength and resiliency of the multifamily market on the west coast of Florida, despite the economic consequences caused by the pandemic.
NOKOMIS, FLORIDA APARTMENT COMPLEX SALE HIGHLIGHTS:
- Sale Price: $1,500,000 ($93,750 per unit)
- Sold at the Contract Price with 3rd Party Financing Secured and Overcame Lender Related Pandemic Challenges
- Exhaustive National Marketing Campaign that Generated 25 Written Offers and 548 Registered Buyers from 34 Different States.
- Overcame Numerous Challenges Caused by Significant Deferred Maintenance
- Classic Value-Add Offering with Substantial Upside Potential by Implementing a Strategic Interior / Exterior Renovation Plan
- Anticipated Rental Upside of $411/Month/Unit for 2 Bedroom Units & $157/Month/Unit for 1 Bedroom Units
- Sourced a New to Market Buyer & Assisted with Securing Professional Multifamily Management Services
- New Single-Family Home Development Just North of the Subject Property by Taylor Morrison
- New Sarasota Memorial Hospital Development: Approx. 3 Miles from the Subject Property
- New Amazon Distribution Center Development: Approx. 5 Miles from the Subject Property
- New Legacy Trail Extension Within Steps of the Property: 8-mile Extension In-Progress Connecting Downtown Sarasota, Venice & North Port
The transaction was brokered by Phil Ginexi & Kyle Keelan of The Multifamily Firm. For information on current and upcoming offerings, contact us directly to join our distribution list for access to offerings before they hit the market!