As Coastal Rental Costs Rise, Florida Submarket Gets Affordable Housing
Residents in northern Florida are looking for inland housing options as rents in the coastal areas have grown.
A city in northern Florida that’s catching the eye of regional workforces is getting a new 194-unit multifamily rental community.
Palatka, which is 30 miles inland from the historic city of St. Augustine, and 60 miles from Jacksonville. The Cottages at St. Johns, developed by DLP Capital, a private real estate investment and financial services firm, will have 97 duplex cottages with rents that are more affordable than other cities nearby.
Residents in northern Florida are looking for inland housing options as rents in the coastal areas have grown, especially land costs for development.
Don Wenner, CEO of DLP Capital, says that the area is a prime area for rental community development because it offers an attractive Florida lifestyle, easy access to the coast, and affordability.
“As Florida continues to see rapid population growth, DLP Capital is committed to developing solutions that address the resulting crisis in affordable housing—including expanding our footprint into attractive submarkets,” said Wenner.
Located at 6805 St. Johns Avenue, the Cottages at St. Johns is expected to lease up after it’s delivered in late 2024. The complex will be the first non-rent-restricted multifamily housing introduced to the Palatka area in over 30 years. Other new multifamily developments in the area are low-income units or rent-restricted senior housing.
Amenities in the community include a clubhouse with a loggia and exercise room, swimming pool, playground area, pond, walking path and dog park. The single-story duplexes will offer a private home lifestyle that includes a fenced-in area or garden to divide the duplexes. Private garden areas will range from 250 square feet for one-bedroom units up to 500 square feet ofr three-bedroom units. The cottages will also be insulated with energy efficient systems so utility costs can stay low.
The development site is also close to major employer HCA Florida Putnam Hospital and one mile from St. Johns River State College.