August 19, 2021
2021 has been a blockbuster year for multifamily real estate in Tampa, and recently downtown Tampa apartments sold for $157 million. This multifamily property transaciton is the second highest-priced sale of any apartment building in the city’s history.
Anchor Riverwalk, which was developed in 2018 under the name Crescent Riverwalk, was sold to TA Realty, according to property records in Hillsborough County. The deal officially closed on August 13th, according to the property assessor’s office and the deed.
Connor Group, the seller, initially purchased the multifamily property from Crescent Communities for $123M, which averaged $312,182 per unit. The price TA Realty paid for the property comes to $368 / square foot.
Only a few market-rate apartment buildings in Tampa have sold for more than $300K / unit. Furthermore, only one such property breached over $400,000 / unit. The multifamily property, 500 Harbour Island, sold for $440,212 / apartment in 2019, and only a few weeks later, Icon Harbour Island (now called Olympus Harbour Island) sold for $387K / unit.
The development of Anchor Riverwalk makes its price-per-unit even more interesting. For example, The Harbour Island apartment buildings are high-rise towers, meanwhile the Anchor Riverwalk is a mid-rise building. High-rises tend to take a greater investment to build and generally are at the higher end for rents.
The amount TA Realty paid shows the confidence in the Tampa rental market and its ability to raise the apartments’ rents even higher. It’s also a testament to Tampa’s overall economy. Commercial real estate investors continued interest in apartment buildings in the market are a sign of the confidence in continued job and population growth.