336 unit Multi-Family property in Orlando Florida,Debt Sale

The asset
Class C Multifamily
a loan secured by a 336 unit Multi-Family property in Orlando Florida .The unpaid principal balance is $17,226,931 and the note purchase is being presented at $3,500,000 or $10,400/unit. An 07 appraisal valued the property at $22M. opportunities in the Multi-Family sector are hard to come by in the distressed debt arena. Usually when they are offered the tend to trade at a premium. We are very excited about this deal and feel at our price there is tremendous upside.

A broker in the Orlando market that has sold over 17 multifamily properties in 2010 totaling more than $400,000,000. Heprovided the following comparables demonstrating the current price per unit of similar multifamily properties in the Orlando market. The Waterway Apartments that recently sold for $16,944/unit, is located across the street (to the west)
from the subject. Multifamily properties are a strong asset class in the current market. One of the driving forces is the attractive financing offered by lenders such as HUD and Freddie/Fannie Mac. Terms for multifamily loans can be 4% with a 30 year amortization and an 85% to 90% loan to value.

Comps :

Apr-10 Carlton Arms 1968 291 units $8,700,000 $29,897 per unit

Jun-10 Silver Oaks 1990 320 Units $9,000,000 $28,125 Per Unit

Feb-10 Waterways 1988 360 $6,100,000 830 $16,944 Per Unit

5 MORE COMPS ABOVE 29K PER UNIT


An appraisal on file dated 01/2007 notes a value for the subject property of $22,300,000. At that time, the occupancy was 92%. It is assumed that the appraisal was used to facilitate the origination of the subject CMBS note. The valuation was based on an NOI of $1,503,377 using a cap rate of 6.75%. The cash flow table below demonstrates the strength of the asset
only 4 years ago. The sales comparables were all similar vintage with an average price per unit of $66,000 or $22,000,000. The subject asset is being offered at $3,500,000 or $10,400/unit. Property taxes have been paid up through 2009 with $107,888 due for 2010.

NOI FOR THIS ASSET: $1,850,000 AT 90%

THE PROPERTY SITS AT 25% OCC. CURRENTLY WITH NO MANAGEMENT IN PLACE

Download link: NCND (must sign)
SIGN AN NCND TO MOVE FORWARD

Mike Rivera,
Investment Real Estate Analyst
Star Capital Group
Naples Fl

954-957-3134 Office

Mike Rivera, Ferrer & Associates,LLC

Apartment and Bulk sales Rise 70% in 2010

a recent report on second-quarter transactions released late last week by Real Capital Analytics (RCA), a New York-based commercial real estate research firm. On the surface, the quarter’s numbers looked good compared to the listless 2009. Sales rose to $5 billion in the second quarter, putting the total at $9.6 billion for the first half of the year. That’s an impressive 69.6 percent jump in transactions over the first half of 2009. But dig deeper, and the numbers don’t look quite as impressive. In the first quarter, 534 properties of $5 million or greater sold. That’s only a 16.8 percent increase from a year ago. So what’s with the jump in prices? Basically, more trophy properties are selling. “I think that points further to the weight the larger transactions in primary markets are having on the market as a whole,” says Ben Thypin, senior market analyst at RCA, noting that most of the uptick in transactions came from the Northeast and Mid-Atlantic, while the West only saw slight gains in volume and pricing. (The Midwest was, once again, quiet.) The Big and Small Sell If they were properly located, both garden-style apartments and high-rises saw strong pricing and demand. RCA, in fact, says garden properties hit a turning point in the second quarter with property sales growing to $3 billion (192 properties) from $2.3 billion (144 properties) the previous year. “There were a fair amount of sub-6 percent cap rates for garden properties,” Thypin says. “The assets in quality markets are trading at low caps regardless of whether they’re garden or high-rise.” Overall, high-rises posted sales of $4.3 billion (198 properties) in the first half of the year, a whopping 192 percent increase over a year earlier. In the second quarter, volume fell slightly from the previous quarter to $2 billion, but the number of properties selling rose to 110 from 88. The reason for this—RCA said high-rises in the second quarter sold in markets other than high-priced Meccas such as New York and Washington, D.C. Distress Still a Dribble Meanwhile, distressed sales made up about 30 percent of all sales in the first half of the year, but only about half of distressed resolutions were via sales. The others were restructured or refinanced.

Cap Rate compression is back and in full effect.

While cap-rate centric institutional buyers mindful of market fundamentals are balking at cap rate compression, opportunistic private investors and opportunity funds with aggressive yield expectations and the underwriting to match are standing 20 and 30 bidders deep to pay what the market demands on a price-per-unit and price-per-square-foot basis. “Today’s buyer feels comfortable where the pricing is per-unit and is willing to buy on the prospect of upside with market recovery,” explains Cindy Cook, senior vice president in the Phoenix office of apartment brokerage firm Colliers International, which recently brokered the sale of two 300-unit, Class B multifamily properties for $61.23 and $67.02 per square foot. “That’s why cap rates have been sidelined. It’s not a stable market, so it doesn’t make sense to value properties strictly on cap rates today. Today’s winning bidder is typically a guy that can walk in and pay all cash without a loan contingency. They’re not looking for a discount; they are looking to pay market price, and they have the cash to pick it up, and we are seeing it particularly with private guys, family trusts, and the opportunity funds that were set up over the past couple of years.

Southwest Florida Coast Broker Sales

Sale Date 02/2010 No. of Units 312 Sale Price $8.2mm

Sale Date 03/2010 No. of Units 360 Sale Price $29.5mm

Sale Date 05/2010 No. of Units 408 Sale Price $25.4mm

Sale Date 07/2010 No. of Units 360 Sale Price $29.5mm

Sale Date 07/2010 No. of Units 180 Sale Price $13.6mm

If you would like exclusive access to some of these off market opportunities. Feel Free to contact Mike Rivera Direct at 239-770-6257

What we are looking for:

Partners such as Private SEC registered Investors,Fund Mangers, family trusts, and the opportunity funds of private equity and hedge fund groups. We provide due diligence,Access to the asset before it hits open market, and asset management and property management as an operating partner.

Providing asset management and turnaround for Hotel owners

Hospitality Owner operators.
Providing asset management and turnaround for Hotel owners - For potential sellers. I want to get your hotels NOI stable for a potential sale. I have two new hospitality programs for hotel ownership with the former CEO of Stafford Hospitality. Expense Management for hotel and restaurant Industry.

NO COST, RISK-FREE ANALYSIS of your existing buying practices. 5% REDUCTION IN OPERATING COSTS HAS THE SAME P&L IMPACT AS A 30% INCREASE IN SALES.

Increase & add stabilization too your inline NOI for a potential sale in 2010/2011

2.

Sales & Marketing Boot Camps:

Grand Bay Hospitality Group is ready to take your property to the next level with our Sales & Marketing Boot Camp. We will talior our full program to your hotel as we cover Everything from Grass Root Sales to Internet, Web & Social Marketing. This program covers a five day span with a review on Friday of all activity and includes a 30/60/90 day follow up program.

Bayfront Ocean view Biscayne High Rise debt sale

Biscayne high Rise

346 units in the building
square footage saleable is 605,056, square
footage under contract now is 377,132.
HOA cost per foot is $.53 (HOA budget
updated in June and covers all of the common area space).
Commercial space is approximately 35,000 feet located along Biscayne Blvd ,
First floor of the detached east pool deck building and within the building first floor below the
Gym/Spa.
$300 per sq ft asking.

NCND required with a 500k pre-open escrow along with a letter of Intent and proof of funds.
E mail only starcapitalgrp@yahoo.com