Preferred Apartment Communities Pays $42M for Tampa Multifamily
The company acquired the 300-unit Class A community through a wholly-owned subsidiary and financed the acquisition utilizing a non-recourse first-mortgage loan from The Prudential Insurance Co. of America. T
TAMPA, FL—Preferred Apartment Communities announced its second multifamily investment in a month—the nearly $42-million purchase of the luxury Lodge at Hidden River property here.
The company acquired the 300-unit Class A community through a wholly-owned subsidiary and financed the acquisition utilizing a non-recourse first-mortgage loan from The Prudential Insurance Co. of America. The first mortgage loan on the property constructed in 2017 is approximately $41.7 million, bears interest at a fixed rate of 4.32% per annum, matures in October 2028 and amortizes based on a 30-year schedule.
PAC adds that there are no loan guaranties provided by the firm or its operating partnership.
“We acquired this newly constructed property through a real estate loan investment PAC made to construct the property over two years ago,” says Jeff Sherman, EVP and director of multifamily investments for PAC.
Sherman adds, “We are excited to expand our portfolio in Tampa, which is a market that continues to show strong macro fundamentals. The Lodge at Hidden River not only has high-end finishes and an expansive amenity package, but stands apart from its competition with its preservation of natural wooded greenspace throughout the community.”
Preferred Apartment Communities announced on Aug. 31 it closed on an aggregate loan investment of up to approximately $12.3 million in connection with Oxford Properties’ plans to develop a 240-unit Class A multifamily community located in Fredericksburg, VA. The property is part of Southpoint Landing, which is a 63-acre mixed use project with significant visibility from I-95.